Although reaching the lowest level in six weeks, $142/mt, CFR China conditions, the price of Brazilian high-grade ore, 65 percent iron contents, had its premium in relation to the Australian 62 percent increased to 3.5 percent, the highest in five weeks, reflecting the interest for high grade iron ore products by the integrated steel producers.
On January 10, high-grade iron ore prices were $146/mt, after falling from $150/mt on January 8.
According to analysts, the decline reflects weak data on the Chinese economy, while the expected restocking of the ore by steel producers before the holidays season in China could be weaker than previously expected.
The export price of blast furnace grade pellets is now estimated at $160/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 $111/mt for the iron ore and $129/mt for the pellets, against respectively $114/mt and $132/mt previously, ex-works, no taxes included.