Staff Reporter
,
Singapore
The Baltic Dry Index has been declining due to the floods in Australia that cause the closure of coalmines.
According to Phillip Securities Research, new vessels continue to enter the shipping market and cause an overcapacity. Phillip Securities Research believes that at the level of 1,107 on 31 January 2011, the dry bulk shipping companies are likely to incur losses on shipping cargoes.
It is anticipated that it may take several months before the situation in Australia improves and mines reopen.
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