The appar­ently critical-when-its-going-up-but-ignore-it-when-it-is-falling index of the cost of dry bulk goods trans­porta­tion has 'crashed' in the last few weeks to its low­est level since Jan­u­ary 2009 (back below 1000 accord­ing to today's lev­els). Whether this is sea­sonal out­put dif­fer­ences or weather impacts, it seems clear that lower steel out­put in China and a decline in Euro­pean imports is hav­ing its impact on global trade. The index has fallen for 19 days in a row, down almost 50%, its largest drop since the har­row­ing period of Q4 2008.

The change over the past 19 days (of freefall) is almost 50%, its largest drop since Q4 2008...

and only the third largest ever monthly per­cent­age drop in dry bulk rates...

Charts: Bloomberg

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