The price of Brazilian high-grade iron ore, 65 percent iron contents, is $126/mt today, against $122/mt on June 12, CFR China conditions.
Despite the uncertain data on the Chinese real estate sector, recently announced by the local authorities, and the consequent reduced demand for steel products, traders maintain expectations for additional support to the sector by the government.
Regardless of the recent oscillation of prices, when considering a seven-day moving average, the price of the high-grade ore remains in uptrend since May 30.
The Brazilian high-grade product has now a premium of 3.9 percent in relation to the 62 percent Australian iron ore, against 5.0 percent previously, reaching the lowest figure since November 2022.
The export price of blast furnace grade pellets is now $144/mt, CFR China, against $140/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 now estimated at $102/mt for the iron ore and $120/mt for pellets, against $99/mt and $117/mt previously, ex-works, no taxes included.
In May, Brazil exported 32.97 million mt of iron ore (pellets excluded) and 2.22 million mt of pellets, against respectively 23.43 million mt and 1.77 million mt in April. Preliminary indications point to lower volumes being exported in June.
