As of September 21, inventory of iron ore at 33 major Chinese ports amounted to 79.98 million mt, up 2.23 million mt or 2.87 percent compared to the inventory level recorded on September 14, as announced by China's Xinhua News Agency on September 22.
As of the same date, the Xinhua-China Iron Ore Price Index for imported iron ore with 62 percent iron content was at 58 points, down one point week on week. Meanwhile, the Xinhua-China Iron Ore Price Index for imported iron ore with 58 percent iron content was at 53 points on the date in question, remaining stable week on week.
In the given week, imported iron ore prices indicated a declining trend as buyers lowered their purchase prices, while overall transaction activity in the spot market have been at decent levels. In addition, the iron ore futures market has continued to indicate downward movement, exerting negative pressure on iron ore prices in the spot market. The major steelmakers in China have been under pressure to decrease their steel prices due to the lack of any significant improvement seen in demand from downstream users. However, it is expected that imported iron ore prices will likely gain some support from the stabilization of finished steel prices ahead of the National Day Holiday (October 1-7) as downstream users will likely build up inventory to meet their demand during the holiday period.