Skip to comments.Baltic Dry Index Up 16% In A Week
Posted on 08/23/2011 10:43:15 AM PDT by blam
Baltic Dry Index Up 16% In A Week
by: Bespoke Investment Group
August 22, 2011
Baltic Dry Index is often cited by economists as a bellwether of global economic activity. The index, which measures the price of transporting raw materials by sea, has now risen by more than 21% from its recent lows and is also up 16% in the last week alone. The index, however, is not immune from critics who argue that the index is extremely volatile and has often provided false alarms on both the upside and downside. That being said, in an environment where investors are beginning to price in a global recession, the increase in the Baltic Dry Index calls that view into question.
(Excerpt) Read more at seekingalpha.com ...
Do they have one that normalizes out dollar exchange rate volatility?
I wonder what this would look like normalized to gold?
Anything that jumps 16% in 1 week is by nature volatile.
If it’s indeed this volatile, pricing must be interesting, considering how long transport by sea takes.
Did I miss the boat on transports? (har har—get it? miss the boat. )
Or does it mean transport profits are lower due to higher costs? Anyway, TAL looks decent to me. I’m gonna buy some.