HK Stock Market Move | The Pacific Shipping (02343) rose over 5% as the BDI surged 174 points in a single day, reaching a near-record high. The company is expected to benefit from the upturn in the dry bulk market.

The Pacific Shipping (02343) rose over 5%, reaching a gain of 5.26% at 4.3 Hong Kong dollars, with a transaction volume of 44.5169 million Hong Kong dollars. In terms of news, driven by a comprehensive increase in freight rates across major ship types, the Baltic Exchanges dry bulk freight index, a benchmark for the global dry bulk shipping market, surged to its highest level since December 2023 on Wednesday. The Baltic dry bulk freight index increased by 174 points in a single day, a rise of 5.5%, reaching 3,331 pointsa peak not seen in nearly three years. Huachuang Securities believes that The Pacific Shipping, as a leading small bulk carrier operator with a stable business model capable of navigating cycles, is expected to benefit from the uptick in the dry bulk market. In the first half of this year, The Pacific Shipping achieved a revenue of $1.105 billion, an increase of 8.52% year-on-year; the net profit was $105 million, up 310.35% year-on-year. The daily charter rates for the companys small and super handy vessels were $14,150 and $16,550, respectively, marking year-on-year increases of 28.5% and 35.3%. In the third quarter of this year, the booking ratio for the company's core business of small handy and super handy vessels was 78% and 82%, respectively, with average daily rental rates further rising to $15,810 and $18,680, compared to the average values from the first half of the year.