The spread between the seaborne 62% and 65% Fe fines iron ore prices widened again in September reflecting a decision by Chinese steel mills to use a more cost-efficient blend of high grades with low grades.
The average of Fastmarkets' daily 65% Fe Brazil-origin iron ore index rose by 3.8% to $136.50 per tonne cfr Qingdao in September, while the daily 62% Fe index was up by 0.5% to $123.55 per tonne in the same period both on a cfr Qingdao basis, leaving an average spread to $12.95 per tonne, compared with August's $8.51 per tonne."Physical trading activities slowed down along with price rising to a record high...