Baltic index sails to more than 1-month high on rise across vessel segments

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The Baltic Exchange’s main sea freight index rose to a more than one-month high on Wednesday, helped by stronger rates across vessel segments.

The overall index, which factors in rates for capesize, panamax and supramax shipping vessels, added 120 points, or 5.8%, to 2,203, marking its highest level since March 21.

The capesize index gained 302 points or 9.3%, to 3,541 points, over a one-month peak.

Average daily earnings for capesize vessels, which typically transport 150,000-ton cargoes of iron ore and coal, among others, increased $2,501 to $29,365.

Iron ore futures prices slipped amid rising inventories at Chinese ports, despite hopes for greater intervention in the country’s flagging property market.

The panamax index was up by 56 points, or about 3%, to 2,005. The index was up for the fifth straight session.

Average daily earnings for panamax vessels, which usually carry about 60,000-70,000 tons of coal or grain cargo, added $499 to $18,044.

Among smaller vessels, the supramax index was also up by 16 points or 1.1% to 1,477.

Meanwhile, disruption to Red Sea container shipping is rising, Maersk said on Monday, forecasting this will cut the industry’s capacity between Asia and Europe by up to 20% in the second quarter.

Source: Reuters