Baltic Index heads for weekly gain on capesize and panamax strength

LONDON: The Baltic Exchange’s dry bulk sea freight index, which monitors rates for vessels moving dry bulk commodities, edged up on Friday and was headed for a weekly gain, driven by stronger capesize and panamax vessel rates.

The main index, which factors in rates for capesize, panamax and supramax shipping vessels, rose 13 points to 1,936 points. The index was up 1.8% for the week.

The capesize index rose 13 points to 2,799 points. The index logged a weekly gain of 2.8%.

Average daily earnings for capesize vessels, which typically transport 150,000-ton cargoes such as iron ore and coal, increased by $115 to $23,216.

Prices of iron ore futures climbed on Friday, and logged weekly gains, supported by expectations of stronger steel prices and improved market fundamentals.

The panamax index rose 34 points to 1,764 points. It ended the week 6.1% higher.

Average daily earnings for panamax vessels, which usually carry 60,000-70,000 tons of coal or grain, rose by $305 to $15,873.

Among smaller vessels, the supramax index fell one point to 1,402 points, its lowest since August 22. The contract saw a decline of 3.1% for the week.
Source: Reuters