Baltic Index Hits Record Low for 12th Straight Session
The Baltic Exchange's main sea freight index, which tracks rates for ships carrying industrial commodities, plunged to a new record low for the 12th straight session on Wednesday amid concerns over vessel oversupply and low demand.
The overall index, which gauges the cost of shipping dry bulk including iron ore, cement, grain, coal and fertiliser, fell five points, or 1.38 percent, to a low of 358 points.
The outlook for the dry bulk carrier market remains less favorable as weak Chinese infrastructure investment and slowing production at major mining companies limit demand growth for dry bulk carriers, brokerage Jefferies said in a note.
However, the capesize index rose a point, or 0.54 percent, to 186 points, after hitting a record low on Tuesday.
Average daily earnings for capesize vessels, which typically transport 150,000-tonne cargoes such as iron ore and coal, increased by $44 to $2,706.
The panamax index shed nine points to 360 points.
Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 to 70,000 tonnes, fell $76 to $2,876.
(Reporting by Arpan Varghese in Bengaluru)
