It was only one month ago, on January 16th, that it was reported the Baltic Dry Index or BDI had plunged downward through the 400 level for the first-time ever!
Now, on February 10th, it has broken through 300 to a level of 290.
The collapsing BDI is a sad reminder of the cluelessness of global central banks that are pushing interest rates negative, except of course for the ultra-clueless US Federal Reserve that has actually raised them!
1 comment:
In fact, trade volume is slightly up.
However, shipping supply is largely up so prices of shipping thus fall.
"Maersk owns the world’s largest container shipping company and is seen as a bellwether for global trade, which it estimated grew just 0-1 per cent last year against double-digit growth before the financial crisis. It forecast an increase of 1-3 per cent this year, still below its post-crisis estimate of 4-5 per cent growth."
Growth of between 0 and 1 percent is not a contraction, is not good, but is not the end of the world.
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