UNITED STATES July 11 2017 1:24 PM
LONDON (Scrap Register): The main sea freight index at Baltic Exchange for ships carrying dry bulk commodities declined further to 820 points on Monday led by a decrease in cape, panamax and supramax indices.
The Baltic Dry Index, which provides an assessment of the price of moving the major raw materials – such as coal, iron ore and grain – by sea by taking in 23 shipping routes, measured on a time charter basis, down by another 02 points to 820 points on Monday.
In nine sessions the BDI has now fallen by more than 100 points as demand for capesize boats is evaporating, with analysts unclear when this trend will reverse.
The demand for capesize ships tends to decline during the summer. This is because capesize boats transport primarily iron ore and coal, two commodities that are very seasonal with the summer being their low demand period.