Baltic Index Hits Multi-week Low on Retreat for Larger Vessels
The Baltic Exchange's main sea freight index on Tuesday fell to its lowest level in nearly four weeks, pressured by a dip in the larger capesize and panamax vessel segments.
The overall index, which factors in rates for capesize, panamax and supramax shipping vessels carrying dry bulk commodities, fell 24 points, or 2.3%, to 1,044 - its lowest level since June 8.
The capesize index dipped 50 points, or 3%, to 1,601, declining for the seventh straight session. Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes such as iron ore and coal, decreased $413 to $13,279.
Meanwhile, steel futures prices extended gains, underpinned by production restrictions in China's top steelmaking hub Tangshan.
The panamax index shed 26 points, or 2.6%, to a more than four-month trough at 988. Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 to 70,000 tonnes, decreased $239 to $8,891.
Among smaller vessels, the supramax index was unchanged at 747.
(Reuters - Reporting by Anushree Ashish Mukherjee in Bengaluru; Editing by Alex Richardson)