Baltic Index Continues To Gain, Ends 18 Points Higher

Tuesday was a dull day in the dry cargo freight market, with conflicting signals of future trends, broking sources said. Conditions for Capers were described by brokers as steady to firm but for Panamaxes a mixture of stronger and weaker rates were seen. The BFI was one point higher at 1,109 points. On Wednesday, brokers were divided about the outlook for the market for the next few weeks. Despite reports of increased rates for Capers and Panamaxes in the Atlantic and another rise in the Baltic Freight Index, many brokers were not convinced that the market would maintain its upward trend. But others said the healthy volume of Panamax period activity augured well. The BFI rose four points to 1,113 on Wednesday.

A fresh if modest gain, of four points to 1,117, on the BFI on Thursday reflected a continuing tentative revival in rates in the dry cargo market, shipbrokers reported. They said Capers continued firmer with the Panamax sector also seeing somewhat healthier volume. But activity remained subdued by summer holidays and just ahead of a three-day UK holiday weekend. Fixture rates in key routes such as the U.S. Gulf/ Japan for grain and Hampton Roads/ Rotterdam for coal had mainly lifted the BFI last week with the Far East showing less strength.