Iron ore prices have declined today, July 16, after the continuous rises seen since July 2, with buying activity slowing down. Sentiment in the market has started to be cautious amid downward corrections, with futures prices also indicating downward corrections over the past two trading days.
Iron ore fines with 62 percent Fe content have lost $1.6/mt today to $110.8/mt CFR, while Brazilian iron ore with 65 percent Fe has declined by $1.8/mt on the same day to $122/mt CFR, though stable compared to July 9, SteelOrbis has learned.
Three deals for 300,000 mt of iron ore have been concluded on July 16. One of the biggest deals was for 170,000 mt of 61.5 percent PB fines at the August 62 percent Fe index +$1.7/mt. Also, a cargo of 50,000 mt of 61.58 percent PB fines was traded at RMB 843/mt ($120.4/mt) at Caofeidian port. In addition, there has been a deal for 80,000 mt of Newman lumps.
During the given week, the capacity utilization rate of blast furnaces in China has edged down compared to the previous week amid production halts in some regions, while the relatively low inventory of iron ore on the steelmakers’ side and at ports have provided support for prices. Meanwhile, there has been some tightness of iron ore supply at ports, which will support iron ore prices in the coming period. However, some traders think that the current high levels of iron ore prices have squeezed steelmakers’ profitability, which will likely exert a negative impact on iron ore prices.
Iron ore futures prices at Dalian Commodity Exchange have edged down by 0.84 percent today, coming to RMB 826.5/mt ($118.1/mt) compared to July 15, while increasing by 4.75 percent compared to July 9.
On Thursday, rebar futures at the Shanghai Futures Exchange are standing at RMB 3,703/mt ($532.3/mt), decreasing by RMB 23/mt ($3.3/mt) or 0.6 percent since July 9, while decreasing by 0.38 percent compared to the previous trading day.
Imported iron ore prices in China (week-on-week basis)
Product name |
Iron |
Truck loaded price |
Change |
Price |
Change |
Newman iron ore lump |
63/63.5 |
882 |
29 |
126.2 |
4.5 |
Yandi fines |
58 / 59 |
735 |
31 |
105.1 |
4.7 |
PB Fines |
62 |
842 |
39 |
120.4 |
5.9 |
PB iron ore lump |
62/63 |
880 |
29 |
125.9 |
4.5 |
Brazil fines |
63 |
880 |
26 |
125.9 |
4.0 |
Price includes VAT.
Nationwide iron ore concentrate prices (66 percent Fe)
Place of origin |
Market price （RMB/mt, Incl. VAT) |
Change |
Price（$/mt) |
Change |
Tangshan |
817 |
11 |
117 |
2 |
Beipiao |
780 |
12 |
112 |
2 |
Price includes VAT.
$1 = RMB 6.9913
