Baltic Index Hits 7-Week High. Boosted by Stronger Rates for Bigger Vessels
The Baltic Exchange's main sea freight index rose to a seven-week high on Friday to notch up its fourth straight weekly gain, on higher rates for the bigger capesize and panamax segments.
The overall index, which factors in rates for capesize, panamax and supramax shipping vessels, rose 74 points, or 2.8%, to 2,718 points. Up 13.1%, the main index gained for the fourth consecutive week.
The capesize index rose 173 points, or 6.4%, to 2,894 points. The index hit a more than four-month peak and added 35.5% this week.
Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes such as iron ore and coal, increased $1,433 to $24,002.
Meanwhile, benchmark Dalian and Singapore iron ore futures tumbled more than 5% in late trade as China reinforced its tough COVID-19 response policy that has hit economic activity.
The panamax index gained 65 points, or 2.1%, to 3,175 points. It rose for the first time in three weeks, gaining 8.1% so far this week.
Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 to 70,000 tonnes, rose $586 to $28,572.
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The supramax index was down 3 points at 2,729 points, while it was up 2.1% this week.
(Reuters/Reporting by Roshan Abraham in Bengaluru)