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Sorry, we’re having some system weirdness today so no charts. Big moves, though:
- Qingdao iron ore -3.5% to $81.57, Tianjin benchmark tumbled -4.3% to $80.80;
- SGE 12 month futures -4.7% to $59.61;
- DCE 6 month futures -2% to 636 but volume has shifted to the September contract which is -16.7% to 548 yuan or roughly $63;
- Coking coal futures down hard despite Cyclone Debbie shutting mines en masse, for September -13.9% to 1119 yuan or roughly $126;
- Thermal coal jumped to 2.2% to $82 as it restocks and
- Rebar average fell -1.6% to 3849.
In short, we’re rapidly deflating across the ferrous complex. Inventories remain immense and it is a standing risk that Banana Man dumps the great pile.
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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.
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