The Baltic Exchange's main sea freight index fell on Thursday, as a decline in Capesize rates weighed on overall market sentiment.
The main index was down 112 points, or 6.7 per cent, at 1,553, hitting its lowest level since June 4.
The Capesize index fell 379 points, or 13.9 per cent, to 2,345, posting its biggest daily percentage loss since January 10, 2024. The contract was down for a eighth-straight session. Average daily earnings for Capesize vessels decreased by $3,145 to $19,447.
"On C5 ex (Western Australia to China) West Australia, we observe limited activity this week, no miners were in and very limited fixtures done for tender and operators alike," shipbroker Fearnleys wrote in a weekly note on Wednesday referring to the Capesize vessel segment.
Iron ore rose on Thursday, reversing early losses, as a weaker US dollar and promises from Chinese officials to boost domestic consumption lifted investor sentiment.
The Panamax index rose 43 points, or three per cent, to 1,468, gaining for the fourth straight session.
"The Panamax market maintained its positive momentum this week...supported by consistent seasonal trends and steady enquiry across both the Atlantic and Pacific basins," Fearnleys said in the weekly note.
Average daily earnings for Panamax vessels increased $389 to $13,214.
Among smaller vessels, the supramax index gained six points, or 0.6 per cent, to 1000.
(Reporting by Sherin Elizabeth Varghese in Bengaluru; Editing by Shailesh Kuber)