The World’s Best Known Global Shipping Index has Crashed To Its Lowest Level Ever

The World’s Best Known Global Shipping Index has Crashed To Its Lowest Level Ever (ZeroHedge, Feb 9, 2015):

Having fallen for 47 of the last 51 days, The Baltic Dry Index (tracking the cost of shipping dry bulk from iron ore to grains) has been collapsing in a well-documented manner by Zero Hedge (though not the mainstream media). With Cramer having told investors of its importance previously, it will be hard to ignore the fact that, as of this morning, the index of global shipping costs has never (ever) been lower at 554. We leave it to readers to decide what they think this means (but we already know what it means for shippers and ship-building companies).

Bullish?

BDIY-Baltic-Dry-Index-Collapse

On the back of the total collapse in Chinese imports and exports, is this any surprise?

Charts: Bloomberg

Related info:

Chinese Imports Crash & Worst January Export Plunge Since 2009 Sends Trade Surplus To Record High

2 thoughts on “The World’s Best Known Global Shipping Index has Crashed To Its Lowest Level Ever

  1. What is there for them to say? The global economy, and the fool policies that created it are collapsing as I write this response. Commodities and shipping are two unmistakable signs of the health (or lack of) an economy. Since the idiots mixed all economies with each other, what happens to the Euro Zone, US, Russia, China, South America……..and so on………it happens to all.

    Ross Perot said it best, if you go global, if one nation gets a cold, so will all of them.

    Guess what? CNBC actually mentioned the Baltic Dry situation, covered it for all of 10 seconds….now, they are covering the port shutdowns, blaming the unions instead of a foul, greedy gut feeding corrupt economy. (One of my professors at UC told me I use too many adjectives) Lets blame the unions for this rotten situation. No mention of the collapsed demand for Chinese items, no mention of the fact China is also in deep trouble…………..Retailers will use this to make excuse for not meeting their numbers.

  2. The problem with deflation is psychological as well as economic. Putting off the purchase of that new item to save now, and pay less later as prices fall. Leaving out food and shelter, all other prices are sliding south, and the Depression Era minds can live for generations. The melting of good jobs, the awful jobs that remain all cause people to spend less because they have less to spend.

    Just look at the shopping malls, they tell it all. Target replacing nicer department stores……….the standard of living and shopping has gone to hell. When I was younger and healthier, I often shopped at Macys, Nordstrom and other such places. There were always people there to help, I was given Perrier to drink while trying on clothes………….all of that is gone, along with the live piano player at Nordstrom. Now, flat screen TVs on CNN instead of lovely, relaxing music.

    We have lost our edge, our wealth has been stolen, yet one of the families that caused it, the Bushes, have the audacity to put up yet another fat boy as candidate for president. They should all be in prison.

    Shopping malls can say a lot.

Leave a Comment