Why Shipping Stocks Are On Fire

The global shipping industry has officially hit a crisis point -- loaded ships are queued outside ports around the world, and companies are clamoring for workers who may not get off a ship for a year or more. At the same time, the global economy is picking up steam as demand for goods increases. Supply and demand are out of whack, and day rates for ships are soaring as a result, which should be a windfall for ship owners and logistics companies.

On the dry bulk side of the shipping industry, Star Bulk Carriers (NASDAQ: SBLK), Danaos (NYSE: DAC), Navios Maritime Partners (NYSE: NMM), Diana Shipping (NYSE: DSX), and ZIM Integrated Shipping Services (NYSE: ZIM) could see profitability surge as shipping rates rise. What we don't know is how long the good times will last for these transport stocks. Here's what we know today about the dry bulk industry.

Image source: Getty Images.

Source Fool.com