Iron ore prices strong above $170/mt amid restocking expectations

Today, Thursday, January 14, iron ore prices have moved up compared to the previous day and have indicated slight rises compared to January 7, supported by rising futures prices and expectations of restocking in the near future, though overall demand has been moderate so far.

Iron ore fines with 62 percent Fe content have moved up by $2.55/mt compared to January 13 to $171.25/mt CFR, while rising by $0.45/mt week on week. Brazilian iron ore with 65 percent Fe has risen by $3.3/mt on the same day to $193.3/mt CFR, up by $4.7/mt week on week, SteelOrbis has learned.

No deals for iron ore have been heard on January 14 at trading platforms.

During the past week, demand has not been at high levels but market sources expect it to go up in the near future as steelmakers will build up stocks of iron ore ahead of the Chinese New Year holiday, and these expectations have already exerted a positive impact on import iron ore prices. Traders have been unwilling to sell at current price levels as they think they can wait for a better price. It is thought that import iron ore prices will remained supported in the coming week.

Iron ore futures prices at Dalian Commodity Exchange have edged up by 1.64 percent today, coming to RMB 1,055/mt ($163/mt) compared to January 13, while decreasing by 0.7 percent compared to January 7.

On Thursday, January 14, rebar futures at the Shanghai Futures Exchange are standing at RMB 4,294/mt ($6663/mt), decreasing by RMB 161/mt ($10.4/mt) or 3.6 percent since January 7, while increasing by 0.05 percent compared to the previous trading day.

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 6.4746