Baltic Index climbs to 10-Week high on rising Vessel rates

LONDON : The Baltic Exchange’s dry bulk sea freight index extended gains on last Thursday to hit an over two month peak, supported by rising rates across all vessel segments.

The overall index, which factors in rates for capesize, panamax and supramax shipping vessels, was up 70 points, or 3.4%, at 2,111 points, its highest since Dec. 20.

The capesize index gained 147 points, or 4.1%, to 3,743, an almost eight week-high.

Average daily earnings for capesize vessels, which typically transports 150,000-ton cargoes such as iron ore and coal, increased by $1,222 to $31,045.

Iron ore futures held in a tight range as investors reassessed near-term demand prospects in top consumer China amid expectations of steel mills ramping up production despite lingering concerns about the property sector.

The panamax index rose for a third straight session, adding 54 points to 1,681 points, its highest in over a week.

Average daily earnings for panamax vessels, which usually carries about 60,000-70,000 tons of coal or grain cargo, was up $484 at $15,130.

Among smaller vessels, the supramax index extended gains for the twelfth straight session, gaining 18 points to 1,257 points.