The ferrous complex was strong Friday. Spot iron ore lifted. Steel had a very strong week. Iron ore paper surged Friday night:


There are 1044 words left in this subscriber-only article.
Start your free 14-day trial today!


In news, it’s all about greening:
China’s iron ore supply is expected to be abundant, as demand will decline with Beijing’s steel output cut while supply may incline among the overseas miners, Wang Yingsheng, deputy secretary general of China Iron and Steel Association (CISA), shared on March 25 at the 2021 International Iron Ore Market Seminar in Qingdao, East China’s Shandong province.
In late January, Beijing vowed to bring down crude steel output on year for 2021 while the country’s steel production grew 12.9% on year to 175 million tonnes over January-February. “For the remaining nine months of 2021, we will have to lose the 30 million tonnes at least…
That’s why steel prices are up as well as high-grade iron ore while lower grades are struggling.
It remains to be seen whether or not it can lower the overall iron ore price deck. I am skeptical. The better margins mills have the more they will restock raw materials amid still moderate inventories, offsetting lower steel output.
I prefer to look to the underlying drivers of supply and demand as the sustainable price movers so I still see a decent year with adjustments down in May and September for the price deck.
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.
- Morrison buys another useless 20m Pfizer doses - April 9, 2021
- Will the US fiscal cliff crash markets? - April 9, 2021
- RBA does the retail property bleed out - April 9, 2021
YOU MAY ALSO BE INTERESTED IN
Peak coal points way for peak oil
TS Lombard with sounds analysis: Until not
Daily iron ore price update (powering on)
The ferrous complex was mixed on April 8, 2021 as
The only way is DOWN for commodity prices
I do enjoy a good stink with a commodity
Russian war on Ukraine iron ore upside risk?
With a new Biden administration barely cooling