The price of the Brazilian high-grade iron ore, 65 percent iron contents, is $147/mt today, against $149/mt on December 8, CFR China conditions.
According to sources, iron ore prices maintain an oscillating pattern, now negatively affected by the announcement of incentive measures by Chinese authorities, which have disappointed market players that were expecting more intensive support to the economic activity.
The prices of coke, coal, rebar, HRC and wire rod were also affected by the pessimistic mood, having declined in the Chinese market.
The Brazilian high-grade product has now a premium of 3.3 percent in relation to the 62 percent Australian iron ore, against 3.6 percent previously.
The export price of blast furnace grade pellets is now estimated at $165/mt, CFR China, against $164/mt previously, reflecting a stable premium ascribed to the product in relation to the equivalent sinter feed fines.
In the Brazilian domestic market, the prices are estimated at $116/mt for the iron ore and $133/mt for the pellets, against $112/mt and $130/mt previously, ex-works, no taxes included. Such prices were positively affected by lower sea freight rates, as the domestic prices are based on FOB conditions, having CFR China as reference.
Preliminary figures from customs are pointing to a combined volume of iron ore and pellets, being exported from Brazil in December, lower than the 31.60 million mt exported in November.