Baltic Dry Index Logs Best Week in 12

The Baltic Exchange's dry bulk sea freight index rose on Friday and posted its biggest weekly percentage gain since late-September, buoyed by strong demand for capesize vessels.

The overall index, which factors in rates for capesize, panamax and supramax shipping vessels carrying dry bulk commodities, rose 32 points, or about 2.1%, at 1,560, its highest since Oct. 27.

The main index gained 12.6% for the week, its biggest weekly gain since Sept. 23.

The capesize index was up 113 points, or about 5.4%, to its highest in more than eight weeks at 2,208. It posted a weekly gain of 31.2%.

Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes of coal and steel-making ingredient iron ore, increased $938 to $18,312.

Dalian iron ore was bound for a third straight weekly rise on Friday on optimism over China's economic recovery prospects in 2023, with traders largely brushing aside a wave of local COVID-19 infections.

The panamax index lost 6 points, or about 0.4%, at 1,652. It was down 0.4% for the week.

Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 tonnes to 70,000 tonnes, decreased $55 to $14,869.

The supramax index shed 10 points at 1,157, although it gained 0.4% for the week.

(Reuters - Reporting by Ananya Bajpai; Editing by Shilpi Majumdar)