The rout of the dry bulk shipping market continued on Friday with the Baltic Dry Index (BDI) dropping below 500 points for the first time ever.

Following hitting a record low of 504 points on Thursday the BDI continued to weaken on Friday losing a further six points to close at 498 points, the first time index has ever fallen past the 500 point level.

Rates were down across the board in terms of ship size with the Baltic Capesize Index down 13 at 606 points, the Baltic Panamax Index losing five point to 463 points and the Baltic Supramax Index falling seven points to 472 points.

Its marks new low in what has been a dreadful year for dry bulk shipping despite market optimism in Q4 2014. The average spot TC rate on Friday for capesizes averaged just $5,211, well below operating costs, compared to $22,990 per day one year earlier.