- Low demand for shipping is hurting stocks today.
- This comes as the war in Ukraine affects grain shipments.
- China’s lockdowns are also affecting shipping demand.
Shipping stocks are falling on Wednesday as the dry bulk transportation market suffers from demand issues.
The big news here is that the demand for dry bulk shipping is pulling several stocks in the space lower. This comes as the Baltic Exchange Dry Index has fallen roughly 25% over the last couple of weeks.
There are a couple of factors to take into account when looking at why demand is down. The first is the war between Russia and Ukraine. That’s making demand for grain shipments decrease, which in turn hurts the market.
Then we have to talk about what China has been doing to combat the spread of Covid-19. The country has taken to closing down entire cities to stop the virus from spreading. That has hurt demand for raw materials used for production in the country, The Motley Fool notes.
With this information in hand, let’s take a look at how some shipping stocks are reacting to the news below!
Shipping Stocks Sinking Today
- ZIM Integrated Shipping Services (NYSE:ZIM) stock starts us off today with a 12.2% decrease as of Wednesday afternoon.
- Golden Ocean Group (NASDAQ:GOGL) shares are next, with the shipping company’s stock taking a 6.5% beating as of this writing.
- Star Bulk Carriers (NASDAQ:SBLK) stock closes out our list with its shares down 10% this afternoon.
There’s more stock market news worth looking into below!
We’ve got all the hottest stock news traders need to know about for Wednesday! Among that is what has shares of Altria (NYSE:MO), SoFi Technologies (NASDAQ:SOFI) and Intel (NASDAQ:INTC) on the move today. You can read about that news at the following links!
More Wednesday Stock Market News
- Morgan Stanley Cuts MO Stock Price Target. Here’s Why.
- Is SOFI Stock a Buy, Sell or Hold? 3 Pros Share Their Takes.
- Intel News Alert: Why Is INTC Stock Falling Today?
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
