Pricing curve

A pricing curve, or forward freight curve, is the term structure of FFA prices across successive contract periods (current month, quarters, and calendar years) for a given Baltic route or basket. Brokers publish it daily, and the Baltic Exchange marks it through the Baltic Forward Assessments (BFAs), end-of-day prices from a panel of active FFA brokers. The curve shows whether the forward market sits above the spot (contango) or below it (backwardation), which guides owners and charterers on when to fix physical cover versus paper. The shape is the market’s collective view of future supply, demand, and seasonality.