Chinese iron ore and steelmaking prices January 03 2018
Morning offers of spot resources grew by RMB5-10/tonne today. The price upturn was mainly witnessed among mainstream Australian fines. Morning offers of spot cargos showed strong upward momentum on account of strong upturn in iron ore futures and derivatives. Steel mills said that spot market prices saw large growth this morning and they showed strong wait-and-see attitude given high stocks of steel mills previously and weak demand.
Iron ore spot market remains fair. Transaction prices of PB fines and PB lumps stand at RMB545/tonne and RMB595-600/tonne in Tangshan port. Spot market transactions focus on the stock replenishment of traders. Spot market prices are expected to climb up supported by growing iron ore futures and good shipments of steel products. Most steel mills said that spot market has seen large upturn at the beginning of this week and the following market trend is not clear. Additionally, iron ore stocks increase obviously, while iron ore demand is hard to increase. Therefore, market participants are mainly waiting for further market changes and make purchases based on real demand.