Here are the iron ore charts for October 7, 2014:
Somebody, somewhere has decided to make the Tianjin iron ore spot price very difficult to come by so for now I’m using Qingdao, a close proxy. Prices for spot and 12 month swap have crept up in the past few days while China has been closed. Chinese markets reopen today.
For those looking to trade the market, today may not be bad day to enter for a very short term bounce. The PBOC mortgage loosening of September 30 could put a bid into iron ore especially after the market closed with a wallop before the holidays and the drift up in prices over the break may suggest a little subsequent bullishness. There is also the RIO madness to get juices flowing a bit. It is just as likely to flow into FMG as well now markets can speculate that Glencore will buy it as well. Mill inventories will be running low by now too. Against that we still have the structural oversupply and the Hong Kong situation.
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