Business | Shipping
Shipping rates expected to stay 'very low'
The cost of shipping commodities such as iron ore and coal will stay "very low" this quarter after a record decline last year, said Fearnley Fonds, an investment bank specialised in shipping.
- Bloomberg
- Published: 23:35 January 4, 2009
London: The cost of shipping commodities such as iron ore and coal will stay "very low" this quarter after a record decline last year, said Fearnley Fonds, an investment bank specialised in shipping.
The Baltic Dry Index, a measure of commodity-shipping costs, fell 92 per cent last year as steelmakers cut output because of slumping demand from carmakers and builders.
"We expect dry bulk rates to remain at very low levels in most of the first quarter, before various rescue packages in China and the rest of the world should kick in and help improve parts of the construction industry," analyst Rikard Vabo said in a note.
More from Shipping
More from Business
Business Editor's choice
-
Do unemployment figures flatter to deceive?
Jobseekers and recruiters give out mixed signals ranging from optimism to downright despair even as official data show recovery
-
Banks can increase their share
Longer opening hours, more locations outside cities and lower charges can help
-
Geepas idea blossomed in Dubai
The journey led from a small shop in Bahrain to a $1.27b company in the UAE
