Baltic index jumps 8% on higher demand for capesize vessels
The Baltic Exchange's main sea freight index gained 8% to its highest in nearly three months on Thursday, as an increase in iron-ore demand from China boosted rates for capesize vessels.
* The overall index, which factors in rates for capesize, panamax, supramax shipping vessels tracking rates for ships carrying dry bulk commodities, was up 144 points, or 8.3%, at 1,869 points, its highest since July 7.
* The capesize index gained 446 points, or 14.4%, to its highest level since July 8 to 3,537 points.
* Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes such as iron ore and coal, were up $3,701 at $29,332.
* "Capesizes, being to a great degree iron ore carriers, have benefited significantly from China's buying spree of the commodity," Athens-based EastGate Shipbrokers said in a note dated Sept. 30.