China Armco Metals: News Around the Industry

Seaborne Iron Ore Sees More Gains as Traders Go Long

Source: SBB Daily Briefing Scrap & Raw Materials Edition - 2011-12-29


Iron ore traders are beginning to take positions again in the hope that Chinese steel mills will restock before the Lunar New Year holidays in January.

Consequently, iron ore prices firmed yesterday, despite mill bids being seen below market levels amid hazy sentiment: producers are just buying immediate requirements from port stocks, Steel Business Briefing hears.

The Platts’ 62% Fe iron ore assessment, cfr north China, rose $1.25/dry metric tonne yesterday to reach $138.50/dmt. The spot reference price from The Steel Index for 62% Fe iron ore, also cfr north, China strengthened $1.10/dmt to $136.80/dmt.

Billet prices also moved up by RMB 30/t and the SHFE rebar price strengthened very slightly.

SBB is owned by Platts. TSI operates as an independent unit within the Platts group, compiling reference prices using its own methodology.