An eclectic list seen in yesterday's trading. One notable name is NM, the dry goods shipper. The stock popped on what appears to be no news. Although, other shippers also increased on the day. the industry has been caught a bid in recent months (full disclosure- I have a position in Diana Shipping- ticker DSX) has the Street has began to look ahead at a turnaround in the industry. This is after years of under performance, both fundamentally and by the industry's investments. The turnaround looks to be predicated on a number of coinciding events including the slowdown in ship deliveries from orders placed years ago, an increase in ship scrap rates (both working to reduce supply) in conjunction with a higher Baltic Dry Shipping Rate, the later indicating increased demand.
No comments:
Post a Comment