Baltic index hits 1-1.5 month high on firmer capesize and supramax rates
By Jessica Casey | Dry Bulk Magazine
Reuters has reported how the Baltic Exchange’s main sea freight index has recently hit its highest in more than a month, lifted by an up-tick in rates for capesize and supramax vessels.
The Baltic index, which tracks rates for capesize, panamax and supramax vessels that ferry dry bulk commodities, rose 4 points (0.6%) to 631. This is its highest since 21 January 2020.
The capesize index fell 3 points to -350.
However, average daily earnings for capsizes, which typically transport 170 000 – 180 000 t cargoes including iron ore and coal, rose by US$18 to US$2570.
“The high fleet growth will offset any potential demand growth, and at the very least, the IMO 2020 regulation will adversely impact dry bulk profitability through 1H20,” BIMCO chief shipping analyst Peter Sand said in a note.
“The coronavirus has simply worsened the negative market outlook,” Sand added….Full Story