Chinese iron ore and steelmaking prices July 13 2017
Morning offers of iron ore spot market climbed up by a small margin by RMB10/tonne. However, partial traders are bearish towards the coming market influenced by futures market and reduce their offers for the second time by RMB10/tonne. Some steel mills maintain their iron ore stocks at a low level and they make purchases based on their own demand. Although iron ore spot market transactions go up on a yearly basis, while partial stocks of steel mills remain in shortage. Spot market sentiment still stays brisk and real market transactions show no obvious growth.
Steel product prices go up by RMB30/tonne this afternoon supported by market demand. Market confidence of traders is also boosted by rising steel product prices.
A trader expressed that steel mills are active to replenish their stocks in recent days. Cargo shipment of steel product remains good, which underpins capital flow. Specifications of products in ports are improving gradually. The trader opined that recent prices have stayed a high level and they are willing to deliver the cargos.