Baltic index set for first weekly gain in four on strong capesize demand

LONDON : The Baltic Exchange’s main sea freight index marked its first weekly gain in four on Friday, helped by higher rates for capesize vessel segments.

The overall index, which factors in rates for capesize, panamax and supramax shipping vessels, lost 13 points, or 0.8%, to 1,670. However, it posted its biggest weekly gain since July 12.

The capesize index fell 22 points, or 0.9%, to 2,437. The index posted its first weekly gain in six.

Average daily earnings for capesize vessels, which typically transport 150,000-ton cargoes, such as iron ore and coal, were down $183 at $20,213.

Iron ore futures recovered, boosted by better-than-expected inflation data out of top consumer China, although lingering worries around demand and high supply kept prices on track for a weekly loss.

The panamax index lost 21 points, or 1.3%, to 1,599, posting its lowest level in a month. The index also logged a second straight weekly loss.

Average daily earnings for panamax vessels, which usually carries about 60,000-70,000 tons of coal or grain cargo, decreased $193 to $14,388.

Among smaller vessels, the supramax index was down 1 point, or 0.1%, at 1,301. It posted a second straight weekly loss.