Baltic Dry Index showed an unprecedented growth last week

27.04.2018

During last week, Baltic freight index gained 208 points or 20.95% reaching 1201 points. BDI underwent an unprecedented recovery due to price strengthening in the large tonnage sector of Capesize-type vessels, reports UkrAgroConsult.

An unprecedented growth of Capesize sector allowed Baltic Freight Index to take a course to restore lost points. According to the analyst Jefferies, additional exports of iron ore from Brazil to China appeared to be one of the main incentives for growth of the index of large-tonnage deliveries. Failures in iron ore supplies in March, due to unfavorable weather conditions, no longer affected the BDI, and daily earnings for Capesize ships rose to USD 13,665.

Over the period under review, Panamax Index fell by 2.17%. At the end of last week, the market of South American grain deliveries looked quite active and promising. However, already in the middle of last week, the situation in this part of the basin began to change. Panamax sector in this region was pressured due to an overabundance of free tonnage. This week Baltic freight index will depend on changes in the Capesize index that picks up steam.

 

 

UkrAgroConsult

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