Baltic Index Inches Up as Panamax Gains Outweigh Capesize Losses
The Baltic Exchange's main sea freight index edged up on Wednesday as panamax rates hit a near three-month high, countering a dip in the larger capesize segment.
The overall index, which factors in rates for capesize, panamax and supramax shipping vessels carrying dry bulk commodities, increased 2 points to 1,144.
The panamax index .BPNI gained 38 points, or 3.2%, to 1,233, its highest since May 18.
Average daily earnings for panamax vessels, which usually carry coal or grain cargoes of about 60,000 tonnes to 70,000 tonnes, rose by $344 to $11,098.
"The panamax sector received support from grain shipments originating from the US Gulf and Brazil," shipbroker Intermodal said in a note dated Tuesday.
"Additionally, Indonesian coal shipments in the Pacific region contributed to owners maintaining a positive momentum," it added.
Also boosting the main index, the supramax index rose 7 points to 696.
The capesize index fell 31 points, or 1.7% to 1,752, its lowest since July 26.
Average daily earnings for capesize vessels, which typically transport 150,000-tonne cargoes carrying commodities such as iron ore and coal, fell $265 to $14,526.
Singapore iron ore futures rebounded, after briefly dipping below $100 per metric ton, while the Dalian contract posted marginal gains on concerns over China's steel output curbs.
(Reuters - Reporting by Sherin Elizabeth Varghese in Bengaluru/Editing by Vinay Dwivedi)