Updated from 10:58 a.m. ESTShares of shipping stocks have been rallying this week, but on Thursday the sector pulled back, led by a decline in DryShips. Lately, DryShips was down 11.5% to $6.34 after opening at $7.38. Also falling were rivals Eagle Bulk Shippers ( EGLE - Get Report), down 3.5% to $6.94, Excel Maritime Carriers ( EXM), off 6% to $7.50, Genco ( GNK - Get Report), lower by 5.8% to $17.63, and Diana Shipping ( DSX), down 2.9% to $14.57. Earlier this week, DryShips rose on word that it had restructured an important loan agreement. A week before DryShips announced the restructuring pact with Greece's Piraeus Bank, it warned that it might not be able to pay dividends, obtain more debt or make capital investments. Despite the rally of recent days, the shipping stocks remain well below their 52-week highs. Investors have turned on the group in recent months as economies around the world worsened and concerns built that trade on the high seas would slow.
More from Stocks
Dow Drops Sharply After Fed Lowers Interest Rate; Oil Prices Slide
Stocks dropped sharply Wednesday after the Federal Open Market Committee, the Federal Reserve's policy-making body, said it would lower the overnight lending rate to a target range of 1.75% to 2%.
Korn Ferry Could Make a Trading Bounce but Investors Shouldn't Be Moved to Buy
Prices have worked lower the past 12 months.