The ferrous complex was weak on April 11, 2022:
Some charts from Morgan Stanley for ya:
A few points:
- China’s LNY steel restock was weak suggesting very poor sentiment.
- Mill ore inventories are OK and ports are piled high.
- Imports are very soft in volume terms.
- Cost curves are miles below.
Without Ukraine, prices would be well below $100. If that disruption is better than expected – as Ferrexpo suggested late last week, and the war moving east may also deliver – then that’s where we’re going soon.
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.
Latest posts by Houses and Holes (see all)
- Thank god that’s over - May 22, 2022
- Highest interest rates in galaxy to pop Australian property bubble - May 20, 2022
- Bear markets and recessions - May 20, 2022
YOU MAY ALSO BE INTERESTED IN
Daily iron ore price update (steel shred)
The ferrous complex was pounded on May 18,
Daily iron ore price update (correlation is king)
The ferrous complex was soft on May 17, 2022
Daily iron ore price update (at a loss)
The ferrous complex firm on May 16, 2022. Spot
Chinese economy busts, steel booms!
Chinese April data was out late yesterday and