Shipping executives last year consistently downplayed fears of a glut, arguing that enough new ship orders would be canceled to thwart a crushing oversupply of ships. Those assurances may have been premature.
As the industry enters fourth-quarter earnings season, investors will be paying close attention to the words of those same executives, to see whether their tune has changed.
In late-morning trading Monday, Genco Shipping & Trading was falling 2% to $13.05, Diana Shipping was losing 1.4% to $11.78, Eagle Bulk Shipping was declining 3.3% to $4.47, and Excel Maritime was down 2.6% to $4.90. Volumes were heavy across the board.
Fan favorite DryShips, whose oil-rig operations now dominate the company, at least in terms of perception, also saw its shares decline Monday. The stock was trading recently at $4.89, down about 2%.-- Written by Scott Eden in New York >To contact the writer of this article, click here: Scott Eden. >To follow the writer on Twitter, go to http://twitter.com/ScottEden. >To submit a news tip, send an email to: firstname.lastname@example.org.