Declining trade

Baltic Dry Plunges 42% More Than Seasonal Norm To Start The Year

Zero Hedge,

26 January, 2012

Whether it is an over-abundance of ships (mis-allocation of capital) or a slowing global growth story (aggregate demand), the crash in the Baltic Dry Index has been significant to say the least. Seasonals are prevalent (and Chinese New Year impacts) but to try and clean up that perspective, we find that so far this year the Baltic Dry has fallen 42% more than its seasonal normal and is down by more than 50% since 12/30/11. Nothing to see here move along.

and on a log scale, this is indeed an impressive drop...