Baltic Index logs second straight weekly drop

The Baltic Exchange's dry bulk sea freight index, which tracks rates for ships carrying dry bulk commodities, hit a one-week low on Friday and marked a second straight weekly fall as rates across all segments weakened.

The index, which factors in rates for capesize, panamax and supramax shipping vessels, slipped 36 points at 987 points, its lowest level since Jan. 9. It was down 5.8% for the week.

The capesize index fell 89 points to a one-week low of 1,393 points and lost 3.8% this week. Average daily earnings for capesize vessels,  which typically transport 150,000-ton cargoes such as iron ore and coal, decreased by $739 to $11,555.

Iron ore futures prices hit their highest in more than four weeks and were set for weekly gains, as a raft of better-than-expected data from top consumer China buoyed sentiment and China demand stayed resilient.

The panamax index added 1 point to 897 points but registered a second consecutive weekly decline. Average daily earnings for panamax vessels, which usually carry 60,000-70,000 tons of coal or grain, rose by $10 to $8,070.

Among smaller vessels, the supramax index fell 18 points to 747 points, its lowest level in 17 months.

Elsewhere, freight rates for shipments of Russian oil from its western ports to India rose by 25% after the U.S. imposed sanctions on 183 vessels involved in Moscow's energy exports a week ago, three trading sources said and Reuters calculations showed.