The Shanghai Containerized Freight Index (SCFI) has increased for three consecutive weeks after nine months of continuous declines, due mainly to rate increases on the trans-Pacific, Middle East, and Latin American routes.

The SCFI specifically measures cargo flows from China and is now up 14% from its cycle low.

Despite the recent turnaround, various spot indexes show a plateau at very low rate levels and no direction yet.

The Drewry World Container Index (WCI) showed Shanghai-Los Angeles spot rates down 4% w/w, and the Freightos Baltic Daily Index (FBX) global composite was down 2% w/w.

The market has seen a massive wave of newbuildings hitting the market in March, and investors are betting that the bottom of the market has been reached with the end of the destock and beginning of the restock expected to drive shares.