The Baltic Exchange's dry bulk freight index snapped a three-day winning streak on Monday, on lower rates across all vessel segments.
The main Baltic index fell 47 points, or 1.7 per cent, to 2,696, its first decline since July 21.
The Capesize index fell 85 points, or two per cent, to 4,200, its lowest level since July 23. Average daily earnings for Capesize vessels fell by $770 to $34,587.
Iron ore prices eased as seasonally faltering demand and thinning steel margins in top consumer China countered hopes that Beijing would unveil stimulus later this week to shore up the economy.
The Panamax index fell 25 points, or 1.2 per cent, to 1,999, hitting its lowest level since May 1. Average daily earnings for Panamax vessels fell $223 to $17,990.
Among smaller vessels, the supramax index was down 24 points, or 1.4 per cent, at 1,670.
(Reporting by Vedika Thorat; Editing by Harikrishnan Nair)