The Baltic Dry Index Freight rates rose by 450 points from the beginning of March 2010, as a result of March 9 trades on the London-based Baltic Exchange, and amounted to 3210 points. The Baltic Exchange data show the index remains nearly unchanged from early this year.
The BDI’s highest index level ever (more than 11700 points) was registered in May 2008, with its further collapse in mid-July 2008. The BDI reached its minimum level at 663 points on Dec. 5, 2008.
The BDI tracks worldwide international shipping prices of various seaborne dry bulk cargoes: metal, iron ore, coal and grain. The index includes three other indexes of freight rates that differ in sizes of ships for which they are calculated - Capesize, Supramax and Panamax dry bulk carriers. Dynamics of changes in BDI allows investors and market participants to analyze major trends in world demand and supply. Often the index is considered as the main indicator of future economic growth (if the index increases) or recession (if it falls), since the raw material on which the index is calculated, has a low potential for speculative operations.
The BDI’s highest index level ever (more than 11700 points) was registered in May 2008, with its further collapse in mid-July 2008. The BDI reached its minimum level at 663 points on Dec. 5, 2008.
The BDI tracks worldwide international shipping prices of various seaborne dry bulk cargoes: metal, iron ore, coal and grain. The index includes three other indexes of freight rates that differ in sizes of ships for which they are calculated - Capesize, Supramax and Panamax dry bulk carriers. Dynamics of changes in BDI allows investors and market participants to analyze major trends in world demand and supply. Often the index is considered as the main indicator of future economic growth (if the index increases) or recession (if it falls), since the raw material on which the index is calculated, has a low potential for speculative operations.