Baltic index steady as higher panamax rates offset capesize dip
The Baltic Exchange’s main sea freight index was little changed on Tuesday as higher rates for panamax vessels countered a dip in the capesize segment.
The Baltic dry index, which tracks rates for capesize, panamax and supramax vessels, inched up 1 point to 1,112.
The capesize index fell 31 points, or 2.1%, to 1,450.
Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes such as iron ore — a steelmaking raw material — and coal, fell $253 to $12,029.
The panamax index rose 38 points, or 3.1%, to 1,252, gaining for a fourth consecutive session.
Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 tonnes to 70,000 tonnes, rose $334 to $11,264.
“The dry bulk shipping market rallied into the summer, and the second half of 2020 should be much stronger than the first half due to economic recovery in China, increasing Brazilian iron ore exports and low fleet growth,” Randy Giveans, vice-president, equity research, at Jefferies, said in a note on Monday.
The supramax index remained rose 4 points to 888.