Lower Capesize Rates Weigh on Baltic Index

The Baltic Exchange's main sea freight index, tracking rates for ships carrying dry bulk commodities, broke a six-day winning streak on Tuesday, dragged lower by lower rates for capesize vessels.

 

The overall index, which factors in rates for capesize, panamax, supramax and handysize shipping vessels, shed three points or 0.25 percent to end at 1,188 points.

 The capesize index lost 85 points, or 5.06 percent, to end at 1,595 points.

 

"A slow start for capesize dry bulk trading thus far into the week as limited activity levels, particularly out of West Australia, pressure rates lower for the largest class," analysts at ship-broker Clarksons Platou Securities said.

 

Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes such as iron ore and coal, fell $601 to $12,627.

 

The panamax index rose nine points, or 0.6 percent, to 1,513 points.

 

"(Panamax) rates have maintained the positive momentum gained last week on the back of stronger activity levels in southeast Asia firming owner's sentiment," Clarksons Platou analysts said.

 

Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 to 70,000 tonnes, increased by $79 to $12,135.

 

Among indexes tracking rates for smaller vessels, the supramax index rose 29 points to 948 points, while the handysize index gained seven points to 545.


(Reporting by Arpan Varghese)