February 22 ---- The approval of a second bailout for Greece on Tuesday will bode well for Asian shipping companies, according to one analyst, who points out that Asian container shippers have a large amount of business with Europe.

Jonathan Windham, Director & Head of Regional Industrials, Asia Ex-Japan Research at Barclays Capital says container shipping companies, ports and shipyards have "rallied massively," since October, when investors were extremely bearish on Europe and the global economy. But he says the stocks are still relatively cheap.

Last week the Baltic Dry Index, which tracks shipping rates for dry commodities such as iron ore, and coal took a big hit, falling to a nearly three-year low — down almost 50 percent this year. Windham says investors should steer clear of the dry bulk space, which is suffering from overcapacity, and focus on container shipping instead. Since shipping stocks are volatile and investing in them involves taking on macro-economic risks, Windham recommends picking up companies that have lower debt levels. He's overweight on Hong Kong listed China Shipping Container Lines, Orient Overseas International, COSCO Pacific, China Merchants and Hutchison Port Holding Trust.

Source: hellenicshippingnews.com