by Chris Becker
Iron ore continued its surge yesterday with spot Tianjin prices up above the $107 barrier, while 12month futures gained, but shorter term prices slipped alongside rebar and coking coal.
Here’s the table and latest charts:
Iron ore imports to China have fallen to their lowest level since October 2016, according to Steelhome, despite a marked uptick in crude steel output in the last two months, with overall output up nearly 2% over the same period as last year.
But it looks like destocking is slowing:
“In the short term, the output may remain high, and small growth may still occur, but the probability of a substantial increase in production is weak when demand is weak,” Sinosteel Futures Co Ltd analysts said.
Initial data, meanwhile, showed Australia may ship a record volume of iron ore this month, while Brazilian shipments may have rebounded, said Howie Lee, economist at OCBC in Singapore.
“That shows China’s persistent voracious appetite for iron ore but also signifies that Brazilian supply lines may be returning to normal,” he said.