The Baltic Exchange’s dry bulk sea freight index rose for a seventh straight session Monday, as strong capesize rates offset losses in the smaller vessel segments.

The overall index, which factors in rates for capesize, panamax, supramax and handysize shipping vessels, rose 9 points to 2,727 points, its highest since Dec. 14.

The capesize index gained 110 points to 2,786 points.

Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes such as iron ore and coal, increased $906 to $23,101.

“Last week, average Capesize spot rates surged 64% w/w as European traders source coal and other dry bulk commodities from further away distances to replace lost Russian supplies,” shipbroker Jefferies said in a research note.

“We believe dry bulk spot rates will strengthen into 2Q22 due to coal and grain trade disruptions, increasing iron ore volumes from Brazil, and minor bulk trade growth.”

The panamax index was down 95 points at 3,092 points.

Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 tonnes to 70,000 tonnes, decreased $859 to $27,826.

The supramax index slipped 5 points to 2,934 points.

Source: Reuters