So well-documented is the notion that a huge number of newly built dry-bulk ships will be entering the market next year and beyond, leading to a potential glut, that market participants discounted this as a reason for the steep two-day drop in shipping stocks.

One of the leading dry-bulk decliners Wednesday was Genco Shipping & Trading ( GNK), whose shares lost 5.7% to $19.60. The company reported its third quarter after Wednesday's market close, saying it earned $1.10 a share, exceeding analysts' profit targets by 9 cents.

DryShips' ( DRYS) stock, meanwhile, also lost 5.7% during the session after retreating 7.6% on Tuesday. The company, the first Greek dry bulk concern to go public in 2005 and the first to report third-quarter results this earnings season on Monday, surpassed expectations and reported a "clean quarter," in the words of one shipping-stock investor. The stock finished Wednesday at $6.01.

Elsewhere, shares of Diana Shipping ( DSX) gave up 5.5%; Navios Maritime ( NM) lost 4.6%; Paragon ( PRGN) retreated nearly 6.7%; and Eagle Bulk ( EGLE) declined by 7%.

The steepest drops were experienced by the smaller-cap names. Shares of FreeSeas ( FREE), an operator of smaller handymax and handysize vessels that transports a lot of grain, sank nearly 11% to $1.33. OceanFreight ( OCNF) shares broke a buck, falling nearly 9% to 89 cents, while Star Bulk Carriers ( SBLK) lost 7.7% to $3.01 and Excel Maritime ( EXM), fell nearly 8% on the day.

-- Written by Scott Eden in New York

Follow TheStreet.com on Twitter and become a fan on Facebook. NEW YORK ( TheStreet) -- Advertising giant Interpublic could only talk psychology when gazing into the near-term future.
Scott Eden has covered business -- both large and small -- for more than a decade. Prior to joining TheStreet.com, he worked as a features reporter for Dealmaker and Trader Monthly magazines. Before that, he wrote for the Chicago Reader, that city's weekly paper. Early in his career, he was a staff reporter at the Dow Jones News Service. His reporting has appeared in The Wall Street Journal, Men's Journal, the St. Petersburg (Fla.) Times, and the Believer magazine, among other publications. He's also the author of Touchdown Jesus (Simon & Schuster, 2005), a nonfiction book about Notre Dame football fans and the business and politics of big-time college sports. He has degrees from Notre Dame and Washington University in St. Louis.

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