Chinese iron ore and steelmaking prices November 28 2017
Morning offers of spot resources mainly held stable today. Prices of partial mainstream resources climbed up by RMB5-10/tonne. Traders gave a late quotation this morning and held obvious wait-and-see attitude towards the spot market. Steel mills have purchasing desire, while their purchases focus on high grade mainstream fines, with little attention on non-mainstream resources. Steel mills have raised their usage of high grade ore under high profits. Moreover, they make small changes on blast furnaces mixtures to ensure the normal operation.
Iron ore spot market witnesses fair performance and transaction prices basically maintain the same level as that of last Friday. Market transactions focus on high grade Australian fines. Unfavorable transactions of lumps are hard to see improvement. It’s learnt that most traders said that recent iron ore spot prices have witnessed continuous growth and PB fines prices have touched RMB500/tonne. Steel mills are expected to have favorable demand for iron ore in the short term supported by steel product profits. Mainstream high grade fines are likely to grow further.