The Baltic Dry Index, a measure of shipping costs for commodities, had its first decline in three days on reduced demand for iron ore in China, the world's largest buyer of the material.
The index for transport costs on trade routes fell 46 points, or 0.5 per cent, to 9,428 points, data from the Baltic Exchange in London show.
It declined 20 per cent over an eight-day slide through June 17 and is 2.6 per cent down for the week.
Chinese imports of iron ore are giving a distorted view of demand and must slow to avoid worsening port congestion and causing corporate losses, the China Iron and Steel Association said on June 18.
The ore has been bought by speculators and to make steel amid a construction boom. Companies hold about 79.2 million tonnes of iron ore at ports, a record.
'China has built its stockpiles. They've grown and they can't take much more,' Gavin Durrell, a Cape Town-based official at Island View Shipping, Africa's largest commodities shipping line, said by phone. 'They have to ease off a bit.'
Demand for ships has also been cut by a three- month Argentine farmers' protest over higher export taxes introduced on March 11.
The dispute has blocked roads, brought strikes and curbed exports. Parana River processors and export terminals got no deliveries this week.
Argentina is the world's biggest exporter of soyabean oil.
The farmers will halt their latest strike at midnight before the Argentine Congress starts a debate next week over export taxes, the Rural Society, the biggest farm group, said on Friday.
Rental rates for typical iron ore carriers, so-called capesize vessels capable of hauling 170,000-tonne cargoes, declined 2.1 per cent on Friday, to US$161,551 a day.
Smaller panamaxes for 70,000-tonne loads advanced 2 per cent to US$70,341 a day. Charterers can split cargoes between vessels to cut costs.
Forward freight agreements, instruments used to bet on future costs to hire vessels, were mixed. Contracts for panamaxes for July to September rose 0.1 per cent to US$72,250 a day, prices from Oslo-based broker Imarex NOS ASA showed.
Contracts for capesizes in the period retreated 1.4 per cent to US$158,250 a day.
The index for transport costs on trade routes fell 46 points, or 0.5 per cent, to 9,428 points, data from the Baltic Exchange in London show.
It declined 20 per cent over an eight-day slide through June 17 and is 2.6 per cent down for the week.
Chinese imports of iron ore are giving a distorted view of demand and must slow to avoid worsening port congestion and causing corporate losses, the China Iron and Steel Association said on June 18.
The ore has been bought by speculators and to make steel amid a construction boom. Companies hold about 79.2 million tonnes of iron ore at ports, a record.
'China has built its stockpiles. They've grown and they can't take much more,' Gavin Durrell, a Cape Town-based official at Island View Shipping, Africa's largest commodities shipping line, said by phone. 'They have to ease off a bit.'
Demand for ships has also been cut by a three- month Argentine farmers' protest over higher export taxes introduced on March 11.
The dispute has blocked roads, brought strikes and curbed exports. Parana River processors and export terminals got no deliveries this week.
Argentina is the world's biggest exporter of soyabean oil.
The farmers will halt their latest strike at midnight before the Argentine Congress starts a debate next week over export taxes, the Rural Society, the biggest farm group, said on Friday.
Rental rates for typical iron ore carriers, so-called capesize vessels capable of hauling 170,000-tonne cargoes, declined 2.1 per cent on Friday, to US$161,551 a day.
Smaller panamaxes for 70,000-tonne loads advanced 2 per cent to US$70,341 a day. Charterers can split cargoes between vessels to cut costs.
Forward freight agreements, instruments used to bet on future costs to hire vessels, were mixed. Contracts for panamaxes for July to September rose 0.1 per cent to US$72,250 a day, prices from Oslo-based broker Imarex NOS ASA showed.
Contracts for capesizes in the period retreated 1.4 per cent to US$158,250 a day.