The price of Brazilian high-grade iron ore, 65 percent iron contents, declined to $109/mt from $111/mt on November 5, CFR China conditions. Analysts believe that if the trend of small variations is maintained, the current iron ore prices could have reached a new level, pointing to stability.
However, the price of Brazilian blast furnace grade pellets has increased from $158/mt to $165/mt, due to a higher premium of the product over the equivalent sinter feed fines.
The premium of the high-grade ore, in relation to the 62 percent iron Australian ore, is now 13.1 percent, little changed from 13.5 percent previously, a level reflecting the high demand for its strong performance in blast furnaces.
In the Brazilian domestic market, the prices are estimated at $60/mt for the ore and $116/mt for the pellets, ex-works, no taxes included, against $62/mt and $109/mt previously, respectively.
The Brazilian exports of iron ore (pellets excluded) in October have reached 29.05 million mt, having as main destination Asia (25.26 million mt, of which 21.43 million mt to China), Europe (1.87 million mt) and the Middle East (1.74 million mt).
The exports of pellets have reached 1.81 million mt, having Egypt as main destination (327,400 mt), followed by Argentina (249,500 mt), China (222,100 mt), Italy (177,600 mt) and Saudi Arabia (176,000 mt).