Baltic Index Gains for Fifth Day as Rates for Smaller Vessels Rise
The Baltic Exchange's dry bulk sea freight index on Wednesday rose for a fifth straight session to its highest in a month, as gains in panamax and supramax vessels offset a dip in the larger capesize segment.
The overall index, which factors in rates for capesize, panamax and supramax vessels, added 29 points, or 1% to 3,047, a peak since Nov. 2.
The capesize index shed 19 points, or 0.4%, to 4,464, snapping a three-session streak of gains.
Average daily earnings for capesizes, which transport 150,000-tonne cargoes such as iron ore and coal, decreased $621 to $30,750.
Chinese coking coal and coke futures advanced, buoyed by supply concerns, as coal imports from Mongolia were disrupted by the recent outbreak of the Omicron coronavirus variant.
Rebounding Australia and Indonesia coal flows, tighter capacity supply combined with improved sentiment in the current week has driven earnings across vessel sizes, particularly panamaxes and capesizes, shipbroker Intermodal said in a weekly note dated Tuesday.
The panamax index gained 86 points, or 3.1%, to a near three-week high at 2,897.
Average daily earnings for panamaxes, which carry 60,000-70,000 tonne coal or grain cargoes, increased by $779 to $26,076.
The supramax index rose 34 points to 2,374, its highest in almost a month.
(Reporting by Kavya Guduru in Bengaluru; Editing by Shailesh Kuber)