Today DCE Iron Ore Contract I2601 closing at 804.5 yuan, up 1.96% from the previous working day. Main port spot cargo prices increased by 5-10 yuan/mt compared to the previous working day, with PB fines transac on prices in the Shandong region at 805-810 yuan, up 5-10 yuan/mt; PB fines transac on prices in the Hebei region were at 810 yuan/mt, up 5 yuan/mt from the previous working day. Market transac ons were moderate today, as steel mills restocked based on demand and traders ac vely quoted prices. SMM tracking surveys indicated that, affected by environmental protec on policies, the number of blast furnace maintenance shutdowns increased, and the daily average hot metal produc on decline expanded to 24,000 mt, reflec ng weak iron ore demand. The first batch of ore from the Simandou mine is expected to be shipped soon, while port inventory remains at a high level, leading to a gradual intensifica on of the supply-demand imbalance for iron ore in the short term. Nevertheless, frequent posi ve factors emerged at the macroeconomic level: China-U.S. nego a ons progressed smoothly and a mee ng is expected to be held soon, while the A-share market index hit a ten-year high, boos ng bullish senment and driving iron ore futures to rise for three consecu ve days. In the short term, iron ore prices are likely to hold up well.

Download PDF

Source: Metals Market Index (MMI)