The Baltic Exchange’s dry bulk index, which tracks rates for vessels transporting dry commodities, advanced for a second session on Monday, rising 2.2% to its highest since December 16 at 2,187 points.

All vessel segments saw increases, with investors anticipating higher freight rates due to the Iran conflict and reduced shipments from major exporters.

Container shipping giants have withdrawn from the strategically vital Strait of Hormuz and opted for the long route around Africa’s southern tip, following US and Israel strikes on Iran over the weekend.

The capesize index, which typically transports 150,000-ton cargoes such as iron ore and coal, climbed 2.5% to 3,133 points; and the panamax index, which usually carry 60,000 to 70,000 tons of coal or grain, rose 1.9% to 1,979 points.

Among smaller vessels, the supramax index increased by 1.7% to 1,361 points.
Source: Trading Economics