Shares of Singapore container shipping firm Neptune Orient Lines jumped as much as 5% on Wednesday to a six-month high, helped by freight rate increases by several competitors, reported Reuters.

By 11:49 a.m., shares of NOL were 3.1% higher at $1.34 with over 14.7 million shares changing hands. The gains were in line with other container shippers such as Evergreen Marine Corp.

 

NOL’s volume was 1.6 times its average daily volume over the last five sessions.

 

Hong Kong-based Orient Overseas Container Line (OOCL) said on its website it will hike freight rates by US$200 ($251) per container for cargo moving from North Europe to Asia, effective Feb 15.

 

Danish carrier Maersk Line, the world’s biggest container shipping firm, is also raising its rate on the Asia-Europe lane by US$775 with effect from March 1, industry publication the Journal of Commerce reported on Tuesday. 

 

The announcements of rate increases by major container shipping firms such as Maersk has helped to boost NOL’s shares, said Derrick Heng, an analyst at Phillip Securities.

 

“Asia-Europe rates have been free falling, and was a key source of pressure on NOL. If the market leader is lifting rates, it could signal further rate increases for the rest of the carriers,” said Heng.