Freight Rates Jump

The Baltic Dry Index closed at 4209 yesterday, marking a 25% rise since the beginning of May and setting it's highest levels since November. The BDI has now risen 11% in the past four days alone.

Analysts say that the rise is fed by emerging economies, who are responsible for the majority of dry bulk cargo demand. These haven't been hit as badly by the recession as other regions, they say.

Even European commodities demand has remained stable despite the economic crisis, whilst steel demand from the US and Japan remains robust.

The BDI fell as low as 663 early December 2008, a fall of almost 95% from it's pre-crash high of 11,793 set in May that year.