MMi Daily Iron Ore Index Report September 21 2023

DCE iron ore futures declined by 1.9 % today, the main contract closed at 854. The traders’ willingness to ship is excellent.  The steel mills are active to purchase. The overall trading sentiment of the market is general. PBF at Tangshan port deal 958 yuan/mt, SSF at Tangshan port deal 832 yuan/mt. Therefore, in the short term, iron ore prices will continue to fluctuate in a narrow range. Yesterday, the Federal Reserve’s FOMC meeting decided to maintain the current interest rate unchanged, but it is expected to raise interest rates again before the end of the year, which is in line with widespread expectations in overseas markets. But for the domestic market, the market had previously expected no further interest rate hikes this year, so raising interest rates again may suppress domestic market sentiment. The fundamentals of iron ore have not changed much within the day, and the demand for finished products in the industrial chain may improve, which may to some extent drive the recovery of iron ore prices.

Source: Metals Market Index (MMi)