Strong Capesize Demand Drives Baltic Index Higher

The Baltic Exchange's main sea freight index, which tracks rates for ships carrying dry bulk commodities, rose for the fifth straight session on Tuesday, propelled by strong demand for capesize vessels.

The overall index, which factors in rates for capesize, panamax and supramax shipping vessels, rose 26 points, or 1.5 percent, to 1,721 points.

The capesize index was up 97 points, or 3 percent, at 3,335 points.

Average daily earnings for capesizes, which typically transport 170,000-180,000 tonne cargoes such as iron ore and coal, rose by $593 to $25,580, gaining $3,458 over the last five sessions.

The panamax index was up 1 point at 1,530 points.

Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 to 70,000 tonnes, increased $10 to $12,254, recording an increase for the ninth straight session.

The supramax index rose 5 points to 1003 points.

(Reporting by Kishan Nair in Bengaluru; Editing by Shailesh Kuber)