Falling Capesize Demand Weighs on Baltic Index
The Baltic Exchange's main sea freight index, tracking rates for ships ferrying dry bulk commodities, fell for the fourth straight session on Monday, pressured by waning demand for capesize vessels.
The overall index, which factors in rates for capesize, panamax and supramax shipping vessels, lost 28 points, or 2.3 percent, to 1,203 points. The capesize index dipped 6.7 percent, or 117 points, to 1,638 points.
Average daily earnings for capesizes, which typically transport 170,000-180,000 tonne cargoes such as iron ore and coal, declined by $749 to $13,067.
The panamax index rose for the sixth straight session, gaining 6 points to 1,469 points. Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 tonnes to 70,000 tonnes, increased by $52 to $11,746.
* The supramax index gained a point to 945 points.
Reporting by K. Sathya Narayanan