Baltic Dry Index Starts the Year Falling to Just 2 Points Above All Time Low

by Ship & Bunker News Team
Tuesday January 5, 2016

With analysts predicting 2016 could be even worse for Dry Bulk than the disastrous 2015, the Baltic Dry Index (BDI) Monday began the year by falling five points to 473, just two point above its all-time low of 471 set last month.

Weak demand from China has been largely credited for the index's recent low numbers, with reports noting the country's factory activity declined in December for the tenth consecutive month, doing so at a faster pace than the previous month.

Further, a Reuters survey was said to show that there is little confidence that the Chinese economy will start the 2016 year in a stronger position.

Demand for Chinese rebar and iron ore are also both reported to be down, while Chinese imports of both coal and iron ore have remained weak over the past few months.

Despite the news of slowed demand from China, average daily earnings for panamaxes are said to have risen $14 to $3,706, while the panamax index gained 2 points to 464.

The average daily earnings fell by $154 to $4,811, but the capesize index rose two points to 472.

Meanwhile, the supramax index shows a one point decrease, falling to 449, and the handysize index experienced a three point fall to 267.

Last month, Ship & Bunker reported that the Baltic Dry Index had fallen to a fresh all time low of 471 on December 16.

Ship & Bunker News Team
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