Baltic index up on better rates for bigger vessels

Reuters: The Baltic Exchange’s main sea freight index, which tracks rates for ships carrying dry commodities, rose Friday as rates for both capesize and panamax vessels improved.

The overall index, which reflects the daily freight market prices for capesize, panamax, supramax and handysize dry bulk transport vessels, was up 1.7 per cent to 1,157 points. The index has risen 15.2 per cent on week.

“We believe industry conditions could begin to improve potentially as early as 2H12 as Chinese policymakers introduce additional stimulative measures and new shipyard deliveries begin to slow materially,” analyst Douglas Mavrinac of Jefferies said in a research note.