Will U.S. Spending Boom Push Baltic Dry Index Higher?
The Baltic Dry Index, a measure of commodity shipping costs, surged to a two-year high following the election of Donald Trump, who campaigned to invest as much as $1 trillion on infrastructure in the U.S. The spending would be a boon for owners of vessels ferrying iron ore and other commodities around the world, accelerating the Baltic index’s recovery in the past two weeks. A Trump presidency would see a recovery in infrastructure spending, which would benefit bulk-shipping companies carrying raw materials as well, according to Wu Kan, a Shanghai-based fund manager at Shanshan Finance Co. JPMorgan International Fixed Income CIO Nick Gartside discusses with Anna Edwards and Yousef Gamal El-Din in London and Manus Cranny in Dubai on "Bloomberg Daybreak: Europe." (Source: Bloomberg)