MMi Daily Iron Ore Index Report April 28 2021
DCE iron ore futures market fell off from yesterday and the quotations in the physical port stock market down by 5-15yuan/mt in the morning. PBF was closed at 1285-1295yuan/mt in Tangshan and Shandong market, down by 10yuan/mt over yesterday. Some mills in Central China say they have increased their in-plant iron ore inventory for about 5 days and some mills chose to stand on the sidelines when prices went down. According to SMM, some mills gradually adjust their furnace charge as the premiums for some mainstream products kept soaring high. One mill from Northeast China say they have down regulated their pellet ration given current high pellet premium. But, SMM’s data showed that the pellet inventory at domestic six major ports remained decreasing tendency to around 1.83 million mt over last month. Pellet premium has small possibility to drop sharply in the short run. In consideration of the considerable profits, majority mills still prefer to mainstream medium and high grade products.
Source: Metals Market Index (MMi)