Baltic Index Falls For Second Session On Capesize, Panamax Retreat
The Baltic exchange’s main sea freight index fell for a second consecutive session on Wednesday on a retreat in rates for the capesizes and panamax vessel segments.
The Baltic dry index, which tracks rates for capesize, panamax and supramax vessels ferrying dry bulk commodities, fell 55 points, or roughly 2%, to 2,754.
The capesize index shed 173 points, or 4.6%, to 3,572, the lowest in over a month.
Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes of coal and steel-making ingredient iron ore, fell by $1,434 to $29,620.
Trading on Wednesday in China began with markets already under pressure on worries about monsoon rains in China’s south and the scorching temperature in the north slowing down construction activity, which could dampen demand for rebar and iron ore. Steel and iron ore prices also tumbled.
The panamax index fell 42 points, or roughly 1.5%, to 2,767, declining for the fourth session.
Argentine port workers said on Tuesday they would hold a 48-hour strike starting at midnight (0300 GMT Wednesday), after paralyzing agricultural exports from the country last week when seven ships, six of them large Panamax vessels, loaded with soymeal, corn and other farm products were moored at Rosario during the work stoppage.
Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 tonnes to 70,000 tonnes, fell by $382 to $24,903.
The supramax index rose by 42 points to 2,492.
Source: Reuters (Reporting by Seher Dareen in Bengaluru; Editing by Shailesh Kuber)