Daily iron ore price update (restock done?)

Thursday 22 August 2013

Find below the iron ore price table for August 22, 2013:

Rebar futures fell sharply and are in a new downtrend. It looks like the steel price recovery is done.

Also done I suspect is the iron ore restock that accompanied it. Steel mills have returned to decent stock levels assuming a move towards greater real time delivery and seasonal slowdown:

Adding to this, the seasonal slowdown in steel production is underway, if shallow to date:

Looks like all downhill in the iron ore price from here until Q4, though I do not expect the big dump of last year.

About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific's leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.