Baltic Dry Index lost 11.5% last week

12.05.2017

Last week Baltic Dry Index lost 130 points reaching the level of 1004 points. A 11.5% reduction was caused by the difficult situation in the world market of large-tonnage transportation. It is worth noting that BDI fell over the eleventh consecutive session and reached its two-month low. According to brokers, in the near future the pressure on Baltic Exchange Index will not decrease, reports UkrAgroConsult.

China, which generates almost 40% of the world's marine trade, starts cutting imports for infrastructure construction. First of all, the Capesize Index is affected. It declined by almost 19% last week. Last month the reduction in iron ore transportation volumes was noted on the main routes from Brazil and Australia to the PRC. If such dynamics continues, it threatens to further Baltic Dry Index reduction.

It is now clear that, despite the expected seasonal rise of BDI, the peak of its growth has already passed. The Panamax Index is also experiencing hard times.

 

UkrAgroConsult

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