Baltic Index nears two-month high on capesize gains

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The Baltic Exchange’s dry bulk sea freight index, which monitors rates for vessels moving dry bulk commodities, rose for the fourth consecutive session on Wednesday, nearing a two-month high supported by gains in capesize vessel.

The main index, which factors in rates for capesize, panamax and supramax shipping vessels, gained 26 points, or 1.2%, to 2,180 points, its highest level since July 28.

The capesize index climbed 111 points, or 3.5%, to 3,300, its highest since August 14.

Average daily earnings for capesize vessels, which typically transport 150,000-ton cargoes such as iron ore and coal, added $923 to $27,366.

Iron ore futures prices edged lower across major exchanges on Wednesday, weighed by rising shipments from top producer Brazil and a cautious steel demand outlook.

Meanwhile, the panamax index fell for the third straight session, losing 45 points, or 2.3%, to 1,923, its lowest since September 8.

Average daily earnings for panamax vessels, which usually carry 60,000-70,000 tons of coal or grain, lost $404 to $17,308.

Among smaller vessels, the supramax index rose 1 point, to 1,492 points.

Source: Reuters