Baltic dry bulk index up on higher capesize, supramax rates

0
269

The Baltic Exchange’s main sea freight index, tracking rates for ships carrying dry bulk commodities, rose for a seventh straight session on Thursday, helped by gains in capesize and supramax rates.

The overall index, which factors in rates for capesize, panamax, and supramax shipping vessels rose 17 points, or about 1%, to 1,612.

The capesize index gained 72 points, or 4.6%, to over a month high at 1,637.

Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes such as coal and steel-making ingredient iron-ore used in construction, rose by $603 to $13,580.

“Activity has been plentiful this week for iron ore out of Australia and for coal from South Africa, boosting the Cape market,” shipbroker Jefferies said in a daily note.

Iron ore futures rose buoyed by China’s intensified efforts to support the ailing domestic property sector. Hopes that top steel producer China would ease its COVID-19 restrictions also boosted sentiment after Chengdu city said it would lift a full lockdown.

The panamax index snapped a 10-day gaining streak and was down 55 points, or about 2.6%, at 2,090.

Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 to 70,000 tonnes, were down $496 at $18,813.

The supramax index rose by 24 points to an over two week high, of 1,529.

Source: Reuters