News / Spot rate volatility spreads amid disruption, bumping up long-term prices

Algeciras, Cadiz, Spain - June 24, 2021: Ships, containers and cranes in the commercial port of Algeciras, with the rock of Gibraltar in the background with a large cloud above

The latest Drewry World Container Index (WCI) of container shipping rates remained stubbornly high this week, despite a 1% decrease to an average $5,736 per 40ft, still well above the year’s average of $3,946.

But among that little movement, Shanghai-Los Angeles rate dropped 3%, to $6,740 per 40ft.

But the report concludes: “Drewry believes spot rates have peaked, but continued shipping disruptions will keep a floor under the spot rates for some time.”

That is one way of putting it. Only weeks ago, ...