2.BDI Baltic Index is a weighted calculation of spot exchange rates of several major routes, reflecting the spot market. So the freight price will affect the rise and fall of the index. Therefore, assuming that the demand for raw materials increases, it means that the demand for cargo transportation in various countries will also increase. In this case, if the increase of freight can be greater than the increase of oil price cost, of course, its profit can also be maintained. Under this premise, the BDI Baltic Index will rise, and the share price of transportation stocks will also rise; Suppose the demand for raw materials is still increasing, but the supply of freighters is increasing and the freight market is damaged. At this time, the BDI Baltic Index will fall, and of course the share price of transport stocks will also fall. Therefore, the impact of freight is far more important than the impact of the rise and fall of raw materials on the profitability of shipping stocks.
3. This index is an authoritative index to measure the international shipping situation in the world and a leading index to reflect the international trade situation. If the index rises significantly, it shows that countries' economies are in good condition and international trade is booming.
As strategic investors in many futures markets, it is self-evident that they pay attention to the index. While many commodity prices are still at a high level, BDI prices have plummeted, indicating that the demand for raw materials in the global market is weakening and economic growth will also fall back.