The Baltic Dry index showed further signs of weakness on Thursday, when it dropped 2 percent, hitting 1053 points. The index, which indicates the price of shipping dry bulk, e.g. coal, grain, and iron ore, has been under pressure this year due to an overcapacity of ships in the market and a decrease in the Chinese growth and demand.
In fact, this year’s average so far, 959 points, is the lowest since 1998 and the fourth lowest ever in the index’ 27 year history. Besides 1998, only 1986 and 1985 – the first two years of the index’ existence – have shown a lower average, according to data from Fearnley Securities.