The price of the Brazilian high-grade iron ore, 65 percent iron contents, is $118/mt today, stable from January 22, CFR China.
After more than one week of suspension of negotiations due to the Chinese holidays, the price of the iron ore emerges roughly stable from the pre-holidays period, reflecting chiefly concerns about the current US-China commercial tensions and the reduction of the development growth in China.
More uncertainties are expected regarding the demand for iron ore in China as the local steel production should be reduced to comply with perspectives of lower steel exports.
The export price of blast furnace grade pellets is now $137/mt, against $136/mt previously, CFR China, reflecting a stable premium ascribed to the product in relation to the equivalent sinter feed fines.
The premium of the Brazilian high-grade ore, in relation to the Australian 62 percent iron ore, when considering their iron units, is 8.4 percent against 8.1 percent previously, reflecting the interest, at such price level, by the integrated steel producers for the higher productivity and lower emissions of the premium ores when processed in blast furnaces.
In the Brazilian domestic market, the reference prices are $98/mt for the iron ore and $117/mt for the pellets against $97/mt and $115/mt previously, ex-works, no taxes included.