The ferrous complex was firm on December 6, 2021 as spot lifted, paper soared overnight and steel eased:
The Chinese RRR cut triggered the futures jump. I have no idea how far it will run.
Coal futures went the other way and that’s what actually matters:
As prices for coal and electricity fall in China, the 120mt of steel scrap production offline will return and displace 200mt of iron ore demand plus 100mt of coking coal demand.
Amid a weak Chinese construction sector, this will be price disastrous for steel and bulks.