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| Economy |
| Demand surge propels Baltic index to four month high |
| 2016-04-09 |
| The Baltic Exchange’s main sea freight index, tracking rates for ships carrying dry bulk commodities, rose to its highest level in four months on Friday, backed by an upswing in demand across vessel segments headed by capesizes. The overall index, which factors in rates for capesize, panamax, supramax and handysize shipping vessels, climbed 22 points or 4.26 percent to 539 points, a level not seen since Dec. 9. The capesize index surged 94 points, or about 17 percent, to 656 points, touching its highest level since mid-December. Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes such as iron ore and coal, soared $556 to $5,089. The panamax index rose 16 points to 643 points. Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 to 70,000 tonnes, rose $128 to $5,131. Among smaller vessels, the supramax index was up three points to 488 points, while the handysize index was up six points to 286 points. |
| Posted by:badanov |
| #7 Poss due to shipping B52 loggie parts train. |
| Posted by: Skidmark 2016-04-09 23:08 |
| #6 The recovery now being shown in the index indicates that base economic activity..... ( people building/making stuff for sale) That really is the key, "people building/making stuff for sale," and it's not limited to the Baltic Exchange, but everyone here already knows that. |
| Posted by: Besoeker 2016-04-09 11:56 |
| #5 What Cesare said. I would only add that this index has been crashing since 2008, from a high of 11,750 (aprox.) to 288 in February, 2016. The recovery now being shown in the index indicates that base economic activity ( people building/making stuff for sale) is improving/increasing. But as far down as the index has gone, it can only go up. |
| Posted by: badanov 2016-04-09 11:39 |
| #4 It means, with no more increase in GDP, people are buying more shipped products. |
| Posted by: Skidmark 2016-04-09 10:46 |
| #3 It means global, so your country can be in trouble and the world getting better. |
| Posted by: Tarzan Slailet2796 2016-04-09 10:28 |
| #2 In simple terms, it is a global index of shipping fees and charges, ergo a fairly reliable indicator of economic activity and demand. Perhaps more important, there is no secondary market for the Baltic Dry. That means there are no futures or options mkts so distortion is minimized and there is no micro tail wagging the global dog, it says what it says. |
| Posted by: Cesare 2016-04-09 10:23 |
| #1 I think you may have explained it once, but I've slept since then. How are the ups and downs of this index related to world affairs, again? |
| Posted by: Bobby 2016-04-09 09:08 |