The ferrous complex was hammered on June 16, 2022:
In news, this is big:
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China is moving to consolidate the country’s iron ore imports through a new centrally controlled group by the end of this year, as Xi Jinping’s administration seeks to increase Beijing’s pricing power over the industry.
The initiative, led by the China Iron and Steel Association and the planning ministry, involves large state-owned mining and steel groups such as Baowu, China Minmetals and Aluminium Corporation of China, according to people familiar with the effort.
…The project will also seek to boost domestic iron ore output and organise bigger investments in overseas mines.
So, it’s back to the future. It can’t really impact spot prices. But it could help play one miner off against another so maybe impactful at the margin.
The truth is, measures such as this work best, if at all, when the market is already glutted. So it will take time to have any effect but when it does it will be at the worst possible moment.