Shares in the shipping sector jumped on Monday after Baltic Dry Index climbed by 3 percent last Friday, plus Shanghai poised to ease lockdown.
The share price of Jutha Maritime Plc. (SET: JUTHA) rose THB0.10/share or 9.09% to THB1.20/share, with a trading value of THB245 million.
The share price of Precious Shipping Plc. (SET: PSL) rose THB0.80/share or 5.10% to THB16.50/share, with a trading value of THB152 million.
The share price of Thoresen Thai Agencies Plc. (SET: TTA) rose THB0.30/share or 3.37% to THB9.20/share, with a trading value of THB134 million.
The share price of Regional Container Lines Plc. (SET: RCL) rose THB0.25/share or 0.59% to THB42.75/share, with a trading value of THB96 million.
Baltic sea freight index, which indicates costs in shipping vessels, soared 69 points, or about 3.3%, to 2,137 points on Friday’s closing.
According to analysts at KTBST Securities, Shanghai is on track to resume production at key manufacturing sites after a 16-day citywide lockdown will boost sentiment in transportation and logistics.
Shanghai authorities began easing lockdown in some areas last Monday, despite reporting a record of more than 25,000 new COVID cases in China’s most significant financial centers.
Analysts believe China’s move will benefit the shipping and logistics sectors, since Shanghai port has retained its position as the world’s largest and busiest container port. Therefore, the lockdown had a major impact on the supply chain, putting pressure on the major transportation industries throughout the last month.
As a result, analysts at KTBST maintain an “Overweight” rating on shipping and logistics sectors.
