I forgot to add an article: Baltic Dry Index Rises to Highest in Almost a Month on Grains http://www.bloomberg.com/apps/news?pid=newsarchive&sid=auBCBDAISAuw
April 20 (Bloomberg) -- The Baltic Dry Index, a measure of world trade, rose to the highest in almost a month on demand to transport iron ore to China and South American grains. The index of commodity-shipping costs advanced 55 points, or 3.3 percent, to 1,737 points, according to the Baltic Exchange today. That’s the highest since March 25. Rents for panamax ships that haul grains jumped 3.7 percent to $12,955 a day, building on last week’s 36 percent gain. Bigger capesizes that transport iron ore climbed 4.4 percent to $20,772. “Grain is a big driver of the market,” Steve Rodley, a London-based director of shipping hedge fund manager M2M Management Ltd., said by phone today. Some ships are sailing from Southeast Asia to collect the grain cargoes and iron ore is still shipping to China, even as stocks there grow, he added. Grain shipments may only slow from the end of April onwards before the August to October season starts, according to Sirima Dissara, an analyst with KGI Securities Co. in Bangkok. Argentina will sell 50,000 metric tons of yellow corn and 20,000 tons of meat to Venezuela, the Argentine foreign ministry said today. Iron ore inventories in China, the biggest buyer of the material used to make steel, have grown 16 percent since the end of February. China’s government has committed 4 trillion yuan ($585 billion) in spending to support the economy that expanded at the slowest pace in almost a decade in the first three months of this year. That may boost demand for steel production for infrastructure projects. China is the biggest steelmaker and globally the industry accounts for almost half of all seaborne bulk cargoes, according to Amrita Sen, an analyst with Barclays Capital in London. Capesize forward freight agreements for the third quarter, used to bet on future shipping rates, were 0.2 percent higher at $22,125 a day as of 4:31 p.m. in Oslo. Panamax FFAs for the same period fell 0.2 percent to $13,375 a day. The data are from broker Imarex NOS ASA. On Apr 21, 2:59 pm, Xi Ling <xieu.l...@gmail.com> wrote: > My comment: The Baltic Dry Index is behaving exactly as it should. It raises > step by step like stairs. That figure predicts recovery of the global > economy in a timeframe of about one year, and also it tells that we left its > bottom behind. But just for this phase of the crisis, the hyperinflationary > phase is still ahead. > > If we see the enclosed figure we can realise its shape, starting to be a > U-type chat. Some gurus wrongly predicted a L-type shape because at the > begining of the third phase of the U, growth is very little, it might make > us believe that it is flat. But it is not flat, it is a soft recovery, as it > should be. > > Fast recovery, such as a V-shape crisis typical of financial crisis, is not > posible in economic crisis. Economic crisis are caused by economic > inbalances, usually failures in the economic structure, economic agents and > their relations are unstable or unsustainable and they break. This crisis is > not an exception. > > But also, to force recovery too fast would be wrong because that > recovery should be based on the old economic structures, exactly the > structures that produced the crisis (this one or any other). Therefore, that > crisis would appear again as soon as our force stops. > > That balance is very delicate. Governments must push recovery, yet soft > enough to let agents adapt to the new economic structure. > > Peace and best wishes. > > Xi > > bdi_gc.gif > 25KViewDownload --~--~---------~--~----~------------~-------~--~----~ You received this message because you are subscribed to the Google Groups "World-thread" group. To post to this group, send email to world-thread@googlegroups.com To unsubscribe from this group, send email to world-thread+unsubscr...@googlegroups.com For more options, visit this group at http://groups.google.com/group/world-thread?hl=en -~----------~----~----~----~------~----~------~--~---
