The price of Brazilian high-grade iron ore, 65 percent iron contents, is $124/mt today, against $123/mt on May 8, CFR China conditions.
During last week, the price oscillated from a low point of $117/mt, recovering now on market expectations that Chinese authorities could launch incentive policies as an alternative to improve the economic data release last week, which have shown a lower than expected performance of the economy.
The iron ore prices are also positively impacted by higher prices of steel products, with indications of a 2 percent hike for rebar, 2.33 percent for HRC and 1.13 percent for wire rod in the Shanghai Futures Exchange.
The Brazilian high-grade product has now a premium of 8.6 percent in relation to the 62 percent Australian iron ore, against 8.7 percent previously, still reflecting a relatively good demand for high-grade products.
The export price of blast furnace grade pellets is now $142/mt, CFR China, stable from last week, 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 $100/mt for the iron ore and $119/mt for the pellets, stable from last week, ex-works, no taxes included.
In April, Brazil exported 23.43 million mt of iron ore (pellets excluded) and 1.77 million mt of pellets, against respectively 25.02 million mt and 2.21 million mt in March.
In May, the Brazilian exports of iron ore and pellets are expected to increase in relation to the volume exported in April.