The high inventory of iron ore lumps at the Chinese ports signals a lack of appetite for the direct charge raw material, prompting the lump premium to ease, trade sources said.
Fastmarkets iron ore indices
62% Fe fines, cfr Qingdao: $122.44 per tonne, up $1.06 per tonne.
62% Fe low-alumina fines, cfr Qingdao: $121.27 per tonne, up $0.72 per tonne.
58% Fe fines high-grade premium, cfr Qingdao: $107.81 per tonne, up $1.71 per tonne.
65% Fe Brazil-origin fines, cfr Qingdao: $128.60 per tonne, up $0.10 per tonne.
62% Fe fines, fot Qingdao: 930 yuan per wet metric tonne (
implied 62% Fe China Port Price: $124.28 per dry tonne), up by 13 yuan per wmt
63% Fe Australia-origin lump ore premium, cfr Qingdao: $0.04 per dry metric tonne unit (dmtu), down by $0.0050 per dmtu
Key drivers
"Iron ore lump inventory at Chinese ports is still well over 25 million tonne, which is a historical high," a Shanghai-based analyst said.
"For now, most steel mills are focused on consuming fines instead...