The ferrous complex was bashed on May 9, 2022:
Data was a very mixed bag. April iron ore imports were weak at 86.96mt:
There are 934 words left in this subscriber-only article.
Get your first month for $1
The outstanding feature of the chart is that the market has not grown in five years.
Yet CISA steel output went mad in the last 10 days of April:
This is entirely counter to every trend we are seeing in demand, margins and prices. I suspect it is mills under orders to make steel no matter what to keep folks employed during lockdowns.
Steel inventories have remained unusually high as a result, missing what is normally a very fast post-LNY rundown:
Another point is that authorities want steel output to fall again this year so more now means less later.
Still, the output is there and so is the demand for iron ore which is some downside protection as the wider commodities complex cracks.