The Baltic Exchange’s dry bulk sea freight index, which tracks rates for ships carrying dry bulk commodities, extended gains to scale a two-month peak on Wednesday, aided by an increase in larger vessel rates.
The main index, which monitors rates for capesize, panamax and supramax shipping vessels, was up 59 points, or 4.1%, at 1,489 – its highest since April 4. The index was up for a sixth straight session.
The capesize index added 148 points, or 6.3%, to 2,481, its highest since March 27.
Average daily earnings for capesize vessels, which typically transport 150,000-ton cargoes such as iron ore and coal, firmed $1,226 to $20,576.
Iron ore futures prices rebounded as some investors closed their short positions to cash in profits, although anticipation of seasonally slower demand capped gains.
The panamax index gained 37 points, or 3.3%, to 1,145, a one-week high.
Average daily earnings for panamax vessels, which usually carry 60,000-70,000 tons of coal or grain, were up $334 to $10,307.
Among smaller vessels, the supramax index lost 2 points, to 940 points, its lowest since April 15.
On the trade policy front, U.S. President Donald Trump’s administration wants trading partners to make “best offers” on Wednesday to avoid other punishing import levies from taking effect in early July. Meanwhile, new U.S. tariffs on steel and aluminium imports kicked in.
Source: Reuters