Iron ore price

The iron ore jaws are wide.

The jaws are getting stupid as steel prices are in free fall.

Steel prices are in free fall as tariffs mount.

The latest sales data is flatlined.

So much for the ferrous rally.

Sense never lasts long in the iron ore market.

I have long argued that RIO’s treasonous Simandou mine is the Pilbara and QLD killer via crashing iron roe and coking prices.

For a while there it was almost as of iron ore might turn rational and close its jaws with steel prices.

China is in the flush of one last steel export surge, up 6.7% year on year for Jan/Feb.

The iron ore jaws remain wide.

Iron ore was clubbed below $100 yesterday but bounced a bit overnight.

It had to happen.

The ferrous complex has begun to deflate post-supply disruption.

The ferrous complex has come off a little but it is still enjoying favorable Q1 dynamics.

The ferrous complex rolled over yesterday.

Both steel and iron ore fell yesterday.

The ferrous complex is still in the throws of LNY distortions and Q1 supply disruptions, supporting prices.

It’s always the same at this stage of the cycle, only this time it is secular, not cyclical.

So much for the Cat5 monster.

Thar she blows.

So says ANZ.  The US produces around 80mt of crudes teel, which falls short of its consumption needs by 25-30mt. Its import reliance is around 12-15% of apparent consumption. Canada is once against the biggest source of its total imports at 23%. Other sources include Mexico (16%), Brazil(13%), and theRepublic of Korea(9%).

Beware the LNY distributions, but Chinese property appears to have faded out.

Steel profitability is just about gone.

The iron ore jaws resemble a yawning hippo now.

Some pretty impressive jaws are opening in the ferrous complex.