– Baltic Dry Plunges At Fastest Pace Since Lehman, Hits New 29 Year Low (ZeroHedge, Feb 2, 2015):
The Baltic Dry Index dropped another 3% today to 590 – its first time below 600 since 1986 and not far from the all-time record low of 554 in July 1986. Of course, the absolute level is shrugged off by the over-supply-ists and the ‘well fuel prices are down’-ists but the velocity of collapse (now over 60% in the last 3 months) suggests this far more than some ‘blip’ discrepancy between supply and demand – this is a structural convergence of massive mal-investment meets economic reality.
The Baltic Dry Index drops even more… new 29 year lows…
The fastest 3-month plunge since Lehman…
Over-supply…
Or under-demand…
Charts: Bloomberg
Consumption and true purchases are the keys to a clear reading of any economy. US financial channels continue to talk about the Super bowl, I don’t know what lies will be pushed tomorrow.
Watch commodities….they tell the true story.