Daily iron ore price update (steel nuts)

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Iron ore prices for July 12, 2018:

Tianjin benchmark lifted 80 cents to $63.50. Paper was mixed overnight. Steel is nutso.

The excuses being offered for the steel price run are very thin. Capacity cuts are largely irrelevant given the size of the glut. They simply suggest that underlying demand is still good enough to excite traders.

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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.