The Baltic Dry Index this morning plunged to the lowest level since April 2009 when the world economy was at the bottom. It has fallen 44% since September. This number can’t be manipulated by government bureaucrats. It is an accurate measure of world trade. In May of 2008, just before the worldwide crash it peaked at 11,793. By September 17, 2008 it had fallen to 4,856, proving to be a leading indicator of what was coming. It bottomed at 671 in December 2008. This morning it stands at 1,693 and seems to be in free fall. Here is a description of the Baltic Dry Index. You judge what this means.
Because it provides “an assessment of the price of moving the major raw materials by sea,” according to The Baltic, “… it provides both a rare window into the highly opaque and diffuse shipping market and an accurate barometer of the volume of global trade — devoid of political and other agenda concerns.”