Iron ore prices moving up last three days, but relatively stable on week

Import iron ore prices in China have seen a rising trend today, Thursday, July 13, while fluctuating within a limited range compared to a week ago. The recent increases have been amid higher futures, stimulus expectations and still strong data for iron ore imports in June. At the same time, since fundamentals have not improved much with demand being reduced, overall prices are very close to the level seen last week.

Iron ore fines with 62 percent Fe content have increased by $0.65/mt today to $111.4/mt CFR. This level is $0.6/mt below that seen one week ago. Brazilian iron ore with 65 percent Fe has indicated a rise of $0.7/mt on July 13 to $125.5/mt CFR, while up $1.6/mt week on week, SteelOrbis has learned. 

Fifteen deals of 330,800 mt have been concluded at Corex, including 100,000 mt of 60.8 percent Mac fines deal at $107.3/mt CFR, for laycan during August 1-10, while 90,000 mt of 60.5 percent Jimblebar blended ore and 20,000 mt of 61.16 percent PB fines have been traded at 62 percent index -$4.8/mt and RMB 880/mt ($123.1/mt), delivery at Tianjin port.  

Import iron ore prices in the Chinese domestic market have indicated a fluctuating trend within a limited range amid the relatively high pig iron production level, which resulted in stable demand for iron ore. There were rumors of controlling crude steel output in the market, resulting in a rebounding trend in steelmakers’ profitability and stimulating steelmakers to produce—which will exert a positive impact on the demand for iron ore and its prices. However, the high temperature in China will continue to negatively affect construction activities and weaken the demand for iron ore. It is expected that import iron ore prices may move sideways in the coming week.

Iron ore futures prices at Dalian Commodity Exchange have risen by 1.59 percent to RMB 829/mt ($115.9/mt) compared to the previous trading day (July 12), while decreasing by 0.06 percent compared to July 6.

As of Thursday, July 13, rebar futures at the Shanghai Futures Exchange are standing at RMB 3,727/mt ($521/mt), decreasing by RMB 31/mt ($4.3/mt) or down 0.8 percent since July 6, while increasing by 0.92 percent compared to the previous trading day (July 12).

Imported iron ore prices in China (week-on-week basis)  

Price includes VAT.

Nationwide iron ore concentrate prices (66 percent Fe)

Price includes VAT.  

$1 = RMB 7.1527