Baltic Index rises to One-Month High on Strong Vessel Rates

LONDON: The Baltic Exchange’s Dry Bulk Sea Freight index, which monitors rates for vessels moving dry bulk commodities, rose on Friday to a one-month high and logged a small weekly gain, supported by higher vessel rates across all segments.

The main index, which factors in rates for capesize, panamax and supramax shipping vessels, rose 48 points, or 2.3%, to 2,125 points, its highest since October 13. The index recorded a weekly gain of about 1%.

The capesize index added 119 points, or 3.8%, to 3,252 points, but saw a weekly decline of 2.7%.

Average daily earnings for capesize vessels, which typically transport 150,000 to ton cargoes such as iron ore and coal, increased by $988 to $26,968.

Iron ore futures prices moved in a tight range on Friday, as investors were digesting mixed signals: surprisingly firm demand data versus still weak property market data in top consumer China.

The panamax index was unchanged at 1,897 points. It logged a weekly gain of 3.5%.

Average daily earnings for panamax vessels, which usually carry 60,000-70,000 tons of coal or grain, fell by $4 to $17,701.

Among smaller vessels, the supramax index gained 21 points to 1,408 points, and saw a weekly gain of 6.7%.
Source: Reuters