Baltic Dry Index. Bearish trends persisted


Last week, Baltic freight index went down 8 points or 0.72%, to 1106 points. Despite the estimated decline in demand for major cargos in China before the holiday weekend in the country, the Capesize market somewhat recovered, which allowed to limit the reduction of Baltic Dry Index, reports UkrAgroConsult.

Last week the Capesize heavy-tonnage index, which strengthened by 8.8% due to the intensification of coal and iron ore shipments to China, was the only bullish driver for the BDI. Due to Chinese New Year celebration, domestic coal production in the PRC will decrease, which will promote deliveries of imported coal.

The bearish trend persisted in the Panamax sector. Requests for grain transportation in the South Atlantic were insignificant. Strikes of cargo drivers, who demanded an increase of transportation cost, continued for a week in Argentina.



Readers choice: TOP-5 articles of the month by UkrAgroConsult