Iron ore prices have recovered on Friday, December 27, as demand for the raw material at Chinese ports and transaction level for fines, which will be shipped during Chinese New Year, increased slightly. Prices for iron ore fines with 62 percent of Fe content have increased by $0.5/mt over the day to $90.6/mt CFR. As a result of the improvement observed today, prices for 62 percent Fe fines have almost reached the level of last Friday - $90.8/mt CFR. Meanwhile, ex-Brazil fines with 65 percent Fe have moved up by $1.1/mt since yesterday and reached $102.7/mt CFR, the same level recorded on Monday, December 23.
A deal for 170,000 mt of Brazilian blended fines (62 percent) has been traded at Corex at $91.65/mt CFR for shipment during January 29 - February 7. Moreover, a mixed cargo of Pilbara fines and lumps has been sold at January index without discounts for loading in mid-January. There have also been a few transactions for iron ore from Chinese ports at Corex as some customers have been in need to buy small volumes for near term operations. About 40,000 mt of Jimblebar fines with 60 percent of Fe content have been sold at RMB 595/mt ($85.1/mt) from Tianjin port and another 20,000 mt of Pilbara fines (Fe 61.55 percent) have been marketed at RMB 661/mt ($94.6/mt) delivered from Qingdao port.
Production restriction in Tangshan has been canceled today, which supported moods in the iron ore market. Iron ore futures at Dalian Commodity Exchange have increased by RMB 7.5/mt ($1.1/mt) over the day to RMB 642.5/mt ($92/mt).
