Baltic index falls as capesize rates decline

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The Baltic Exchange’s main sea freight index tracking rates for ships carrying dry bulk commodities fell on Thursday, weighed down by losses in the capesize segment.

The overall index, which factors in rates for capesize, panamax and supramax shipping vessels, lost 36 points, or 1.8%, to 1,927.

The capesize index slipped by 150 points, or 4.4%, to 3,225.

Average daily earnings for capesize vessels, which typically transport 150,000-ton cargoes such as iron ore and coal, decreased $1,236 to $26,750.

The panamax index gained 46 points, or 3.4% to reach1,402 points.

Average daily earnings for panamax vessels, which usually carry 60,000-70,000 tons of coal or grain cargo, increased $416 to $12,620.

Iron ore futures prices surged on Thursday to hit their highest in more than a week, as prospects of improved seasonal demand in China outweighed concerns over the top consumer’s economic recovery.

Among smaller vessels, the supramax index edged up 4 points to 1,263.

Source: Reuters