The BDI, the Baltic Sea Trade Exchange's dry bulk freight index, fell for the 12th consecutive trading day on Monday. The price of the Haishu-type vessels remains low due to the low number of iron ore cargoes.
The dry bulk freight index BADI fell 6 points, or 0.45% to 1,317 points. The index fluctuates between 1,300 and 1,500 this year as the supply of ships exceeds the shipping demand for bulk commodities.
“We noticed that the decline in shipping activities, especially iron ore cargo, was mainly due to the decrease in demand compared to about a month ago,†said George Lazaridis, director of Intermodal research at the Greek shipbroking company.
As traders explored the market in a clearer direction earlier this week, spot iron ore prices held steady on Monday. The rise in prices and the drop in rebar prices in the Shanghai market have made the willingness to buy iron ore lower and lower.
The Baltic Sea Brigade freight index BACI fell 0.76%, and the Capesize vessel's average profit fell to US$10,616. This type of ship usually carries 150,000 tons of cargo. The cargo is mainly iron ore and coal.
"Given the availability of a large number of new ships, the dry bulk shipping market may still face challenges in the foreseeable future," said Jefferies analyst Douglas Mavrinac.
Even though the Capesize-type boat rate also impacted the profitability of Panamax vessels, the latter remained stable due to coal transportation activity.
The dry bulk freight index BADI fell 6 points, or 0.45% to 1,317 points. The index fluctuates between 1,300 and 1,500 this year as the supply of ships exceeds the shipping demand for bulk commodities.
“We noticed that the decline in shipping activities, especially iron ore cargo, was mainly due to the decrease in demand compared to about a month ago,†said George Lazaridis, director of Intermodal research at the Greek shipbroking company.
As traders explored the market in a clearer direction earlier this week, spot iron ore prices held steady on Monday. The rise in prices and the drop in rebar prices in the Shanghai market have made the willingness to buy iron ore lower and lower.
The Baltic Sea Brigade freight index BACI fell 0.76%, and the Capesize vessel's average profit fell to US$10,616. This type of ship usually carries 150,000 tons of cargo. The cargo is mainly iron ore and coal.
"Given the availability of a large number of new ships, the dry bulk shipping market may still face challenges in the foreseeable future," said Jefferies analyst Douglas Mavrinac.
Even though the Capesize-type boat rate also impacted the profitability of Panamax vessels, the latter remained stable due to coal transportation activity.
BEIJING HONG YUN XI INTERNATIONAL TRADE COMPANY LIMITED , http://www.chfrpprojects.com