The capesize market has recovered from a small blip, breaking the $75,000 per day mark, as tonnage tightness continues to weigh in. The average weighted time charter on the Baltic Exchange rose to $75,190 at the close on October 1 from $74,176 in the previous session, marking a new high for the 180,000-dwt assessment, which launched in 2014.
The Baltic Capesize Index hit 9,066 points, the most since September 2008.
The market slid on September 30 after news of a fatality at one of Fortescue Metals Group’s sites in Australia, according to market observers. Mining operations at the Solomon Hub mine remains suspended following the incident, which appears to have been caused by “a collapse of ground”, the miner said.
At these spot levels, the market reacts quickly to any news, because of heightened nervousness, said a key charterer.
More than a week ago, participants were jittery about the Evergrande debt default news, which led to a slight pullback in spot rates, although a gain in futures prices was based on continued bullish sentiment in the dry bulk market.