Iron ore prices rise continuously, approaching $140/mt CFR

Import iron ore prices in China have edged up further today, Thursday, January 27, while also increasing week on week, first amid restocking and then supported by the positive outlook for the post-holiday period even though demand has slowed down.

Iron ore fines with 62 percent Fe content have risen by $1.5/mt today to $139.1/mt CFR. This level is $6.4/mt above that seen a week ago. Brazilian iron ore with 65 percent Fe has remained stable on January 27 at $170.8/mt CFR, but is up $7.8/mt week on week, SteelOrbis has learned.

On January 27, a deal of 170,000 mt of 61 percent PB fines, for shipment during March 5-14, was done at $137.5/mt CFR. In addition, 100,000 mt of Mac fines with Fe content below 62 percent changed hands at $131.6/mt CFR.

During the given week, import iron ore prices increased significantly amid the decreasing iron ore volumes arriving at Chinese ports and the positive outlook. As the Chinese New Year holiday will soon get underway, steelmakers were seeking to build up stocks of iron ore and trading was active, but starting from Tuesday this activity has faded away. It is expected that import iron ore prices will be stable in the coming week, though the demand for iron ore will indicate a rebounding trend after the long holiday and will bolster its prices accordingly.

Iron ore futures prices at Dalian Commodity Exchange have edged up by 3.6 percent week on week to RMB 769/mt ($121.3/mt), while rising by 0.46 percent compared to January 26.

As of Thursday, January 27, rebar futures at the Shanghai Futures Exchange are standing at RMB 4,673/mt ($737/mt), decreasing by RMB 40/mt ($6.3/mt) or 0.85 percent since January 20, while down 0.32 percent compared to the previous trading day (January 26).

Imported iron ore prices in China (week-on-week basis)

Price includes VAT.  

Nationwide iron ore concentrate prices (66 percent Fe)

Price includes VAT. 

$1 = RMB 6.3485