The price of the Brazilian high-grade iron ore, 65 percent iron contents, is now $110/mt against $109/mt on 30 April, CFR China.
Maintaining an oscillating pattern in a narrow range since early April, the price now reflects, in the view of analysts, a release of the commercial tensions between China and the US.
Positively affecting iron ore prices, the pig iron production of the Chinese blast furnaces increased during the last week of April, while in the negative side the iron ore stocks in Chinese ports have risen during the period.
The export price of blast furnace grade pellets is now $124/mt against $122/mt previously, CFR China, reflecting the same 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 now 6.8 percent, stable from 30 April, 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 now $88/mt for the ore and $101/mt for the pellets against respectively $87/mt and $100/mt previously, ex-works, no taxes included.
According to preliminary numbers from the foreign trade chamber, CAMEX, the combined iron ore and pellets exports from Brazil in April have declined from the 28.4 million mt exported in March.