The ferrous complex was down on April 13, 2022:
The Chinese economy is in recession. Iron ore imports are down 15% YOY in March at levels first reached 6 years ago:
Steel exports are also weak:
Ferrous complex prices are being held aloft by a combination of Urkaine fears and inflation panic in markets. Underlying demand and supply have little to do with it.
If the latter starts to overwhelm the former then a large downward price adjustment is inevitable.
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.
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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