Baltic Dry Index went down after a three-week growth

06.10.2017

Last week, Baltic Dry Index lost 79 points or 5.37% reaching 1391 points. After a three-week growth, Baltic Freight Index went down due to downward dynamic in the main sectors, reports UkrAgroConsult.

Capesize Index, which hit a three-year record high on Monday and was the main bullish driver for Baltic Dry Index, declined by 4.21%. Growth stability of this index wavered before the beginning of China’s mandate to reduce steel output in winter period (October - March). This measure is aimed at lowering environmental pollution from industrial production.

Last week the sluggish growth of Panamax sector, which specializes in grain and coal cargo transportation, turned downwards and declined by 10.7%. This component of Baltic Dry Index is experiencing the fall in demand for tonnage in the Atlantic. Limited grain trading activity remained in South America - requests for agricultural commodities supply were few in number.

 

UkrAgroConsult

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