The largest commodity carriers fell for an 11th day as the supply of vessels overwhelmed demand for cargoes.
Daily income for Capesizes, the largest ships hauling iron ore and coal, fell 4.4 percent to $4,814, the lowest since March 28, according to the Baltic Exchange, the London-based publisher of freight rates. The Baltic Dry Index (BDIY), a broader measure of raw-materials shipping costs, declined 2.1 percent to 904 points.
The BDI gauge plunged 48 percent this year because of a glut of vessels. The fleet of commodity carriers will swell 12 percent this year while demand for cargoes advances 8.7 percent, RS Platou Markets AS, an Oslo-based investment bank, said in an e-mailed report today.
“Overall demand in dry bulk is not bad, it’s just too many big vessels out there,” Erik Nikolai Stavseth, an analyst at Arctic Securities ASA in Oslo, said in an e-mailed note today.
Panamax vessels, which carry about half as much as Capesizes, fell 2.9 percent to $7,138 a day, figures from the exchange show. That’s less than the two smallest ships tracked by the index. Daily earnings for Supramaxes fell 1.1 percent to $10,694, the lowest since April 20, and Handysizes, the smallest ships tracked by the index, fell 1.4 percent to $9,217, according to the exchange.
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