Baltic index snaps 14-session losing streak as capesize rates gain

Jan 27 (Reuters) – The Baltic Exchange’s dry bulk sea freight index (.BADI) snapped a 14-session losing streak on Thursday, as gains in capesize rates outweighed losses in the panamax and supramax segments.

* The overall index, which factors in rates for capesize, panamax and supramax vessels, edged 6 points higher to 1,302.

* The capesize index (.BACI) gained 116 points, or 16.5%, to 818, crawling up from a 1-1/2 year low.

* Average daily earnings for capesizes, which transport 150,000-tonne cargoes such as iron ore and coal, rose by $954 to $6,780.

* Dalian iron ore prices rose on Thursday on hopes of robust demand for the steelmaking ingredient in China when steel production curbs are eased after next month’s Beijing Winter Olympics.

* “Most of the pressure been on short duration as owners hesitate to sell current levels for a longer time and there is a lot of faith in the forward market,” shipbroker Fearnleys said in a weekly note, referring to the capesize segment.

* “Another dimension is that Chinese New Year is coming up and its very quiet, and the owners with available tonnage just want to get their vessels employed as ‘nothing’ happening.”

* The panamax index (.BPNI) fell 68 points, or 3.6%, to 1,846, its lowest since April.

* Average daily earnings for panamaxes, which ferry 60,000-70,000 tonne coal or grain cargoes, fell by $609 to $16,615.

* The supramax index (.BSIS) dipped 41 points to its lowest level since February 2021 at 1,613.

Reporting by Brijesh Patel in Bengaluru; Editing by Shinjini Ganguli

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