Chinese stock collapse creates new insecurity in shipping

The slowdown in growth in China seems to be part of the explanation for the largest price slump in the Shanghai index since February 2007 which the Chinese stock exchange experienced on Monday.

Photo: Georg Hammerstein/POLFOTO/ARKIV

The value of shares on the Chinese stock exchange has plunged further this Monday in the biggest dive since before the financial crisis. The trend-setting Shanghai Composite closed at negative 8.5 percent and the vast majority of the decline occurred in the last hour of trade. This is the biggest drop for the Shanghai index since February 2007, reports news agency Ritzau Finans.

Part of the explanation for the massive financial unrest seems to be increased uncertainty about the economic development in China, which especially the already very pressured dry bulk carriers keeps a worried eye on. The Chinese players are focusing again on the slowdown in national growth. While Friday offered disappointingly low PMI numbers, the drop on Monday in profit from Chinese industry of 0.3 percent in June is the cause for concern.

Already a subscriber? Log in.

Read the whole article

Get access for 14 days for free.
No credit card is needed, and you will not be automatically signed up for a paid subscription after the free trial.

  • Access all locked articles
  • Receive our daily newsletters
  • Access our app
An error has occured. Please try again later.

Get full access for you and your coworkers.

Start a free company trial today

More from ShippingWatch

SDK Freja anticipates steep earnings drop following record year

Logistics company SDK Freja, which delivered record financials with great advancement on top and bottom lines, takes a more gloomy view of the current fiscal year due to several ”external factors.” However, the growth target remains the same, CEO tells ShippingWatch.

LNG carriers concerned about increasing ship prices

The price on new LNG vessels has soared vigorously, and for Flex LNG this has meant a withdrawal from the market for new ships. Such was the statement by Flex LNG’s chief exec at Marine Money in New York, where he also announced new long-term charter agreements.

Maersk ships delayed up to three weeks on US east coast

Bottlenecks at major container ports on the US east coast have entailed that Maersk vessels are affected by delays of up to three weeks. It’s a combination of congestion, many ships, and a lack of container space, Maersk says.

Further reading

Related articles

Latest news

See all jobs