The price of the 65 percent iron sinter feed fines of Brazil has reached $250/mt, against $245/mt late last week, CFR China conditions. It is the highest quotation in the Chinese spot market since May 18.
The increase was achieved despite a Chinese holiday on Monday and low liquidity derived from the reduced presence of Chinese players. Sources mentioned that the futures market for iron ore is positively affecting prices, as iron ore supply remains tight, which is limiting the downside to iron ore prices despite prospective steel production curbs in China that could reduce the demand for iron ore.
The reference price for blast furnace grade pellets now is $315/mt, against $309/mt previously, same conditions.
In the Brazilian domestic market, the prices are estimated at $218/mt for the high-grade ore and 283/mt for pellets, against $215/mt and $279/mt last week, respectively, ex-works, no taxes included.
The premium of the Brazilian high-grade ore over the Australian 62 percent iron contents has declined slightly to 8.4 percent from 8.9 percent, when considered the iron units of these ores. Such indicator reflects the demand for products that are processed with lower emissions in blast furnaces. Although reduced, it remains high when considering historical figures.