The Dry-Bulk Shipping Market: A Small Econometric Model

Abstract

Dry-bulk shipping is of paramount importance for the safe and efficient transportation of goods around the world. This paper introduces a small econometric model describing the main dynamics and interactions within this sector. In addition, we have efficiently integrated the influence of global trade demand on freight rates, addressing a limitation that has persisted in many similar models. We consider that our model could assist market participants to take more educated decisions in chartering and investing. 

Keywords: International shipping, freight rates, seaborne trade, econometric model, forecasting

JEL Classification: C32, E17, F47