Reuters reported that The Baltic Exchange's main sea freight index, which tracks rates to ship dry commodities, rose to its highest in nearly eight months on Thursday as a surge in coal and iron ore bookings on the larger Capesizes bolstered sentiment and earnings.

The overall index rose 3.89% or 63 points to 1,682 points, in a second day of gains and was at its highest since January 4.

Fixture data on Reuters showed that the cost of hauling a tonne of iron ore from Australia to China rose to USD 10.30 a tonne after mining group Rio Tinto fixed a cargo at that level on Thursday, above the key USD 10.00 level and at its highest this year.

Brokers said firmer coal and iron exports from Australia had boosted the Capesize market. RS Platou Markets said “The fixture activity accelerated in both basins with Pacific and Transatlantic round voyage rates seeing the maximum gains as charterers rushed to fix open cargoes.”

(Sourced from Reuters)