Having closed the previous week with a downward movement, prices of ex-Australia iron ore of 62 percent Fe content for delivery to China’s Qingdao port have remained stable on Monday, October 2, compared to last Friday, starting the current week at $61.55-62.25/mt CFR China, against the backdrop of the National Day Holiday (October 1-8) in China. Meanwhile, according to Umetal's survey of 42 ports in China, total port inventory stood at just under 134 million mt on Friday, September 29, up 1.66 million mt for the week.
Last week, trading activity in Chinese iron ore market was slack since Chinese buyers suspended their bookings ahead of the National Day Holiday (October 1-8) and due to the start of steel production cuts in some regions within the scope of environmental measures. As a result, global iron ore prices decreased by six percent week on week, while they declined by a total of 22 percent during the past month, falling back to the low levels recorded in July this year.
This week, no significant change is expected in terms of global iron ore prices due to the holiday period in China, the world’s biggest iron ore importer.