Another Record Day for the Baltic Dry Index as Capesizes Surge

Photo: tcly / Shutterstock

June 18 (Reuters) – The Baltic Exchange’s main sea freight index marked its largest single-day percentage rise on Thursday, as capesize vessel segment rates jumped 50% on strong iron ore demand.

* The Baltic dry index, which tracks rates for ships ferrying dry bulk commodities and reflects rates for capesize, panamax and supramax vessels, rose 281 points, or about 22.6%, to 1,527, its highest since Dec. 10.

* The Baltic capesize index jumped 1,217 points, or 49.6%, to 3,672, its highest since Sept. 25.

* Average daily earnings for capesizes, which typically transport cargoes of 170,000 tonnes to 180,000 tonnes, including iron ore and coal, increased by $6,244 to $25,280.

* Dalian iron ore has risen 32% in the second quarter, amidst worries about disruptions in Brazil’s iron ore supply and hopes that China will step up its economic stimulus effort.

* Inventories of the steel-making ingredient have declined steadily over the past three weeks in China, dropping to 107.75 million tonnes last week, their lowest since October 2016, SteelHome consultancy data showed.

* The panamax index rose 98 points, or 9.6%, to 1,117.

* Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 tonnes to 70,000 tonnes, rose $885 to $10,055.

* The supramax index rose 14 points, or 2.2%, to 648. (Reporting by Anjishnu Mondal; Editing by Vinay Dwivedi)

(c) Copyright Thomson Reuters 2019.

Unlock Exclusive Insights Today!

Join the gCaptain Club for curated content, insider opinions, and vibrant community discussions.

Sign Up