The Baltic Exchange's dry bulk sea freight index experienced its fourth consecutive session of decline, with panamax rates reaching a five-month low. The overall index, encompassing capesize, panamax, and supramax vessels, dropped 6.6% to its lowest level since November. The slump is attributed to declines across vessel segments. Factors include a 1.3% global trade decline from November to December 2023 due to militant attacks in the Red Sea affecting cargo volumes. The capesize index, particularly for vessels transporting iron ore and coal, extended its losing streak to the lowest point since November. Panamax rates fell to their lowest since mid-August amid subdued thermal coal demand in Asia and the yet-to-start South American grain export season. A.P. Moller-Maersk plans to use rail transport to navigate the drought-hit Panama Canal. Smaller vessels, represented by the supramax index, recorded its 21st consecutive session of decline.

SOURCE:GOOGLE