IRON ORE MONTHLY: Traded volumes for SGX's 65% Fe contract hit new record

The seaborne iron ore market maintained its momentum in March, even with the Covid-19 pandemic causing turmoil for the global economic outlook and leading to steel production cuts and weakening demand outside of China.

The monthly average price for 62% Fe iron ore was largely stable at $88.58 per tonne cfr China in March, while that for 65% Fe iron ore was at $103.45 per tonne. The price spread between 65% Fe and 62% Fe breached $15 per tonne due to supply disruptions in Brazil.
Trading volumes for the Singapore Exchange's 65% Fe swaps contract, which is settled against Fastmarkets' daily index for iron ore 65% Fe Brazil-origin fines, cfr Qingdao, saw a new record last month of 38,526 lots, up 25% from February during a volatile month.
James Huang, senior iron ore broker from GFI Group attributed the rising 65% Fe contract volumes to the increasing interest among participants in both hedging their outright high-grade exposure and in trading the 65/62 spread.

"Demand for imported iron ore concentrates, which are priced basis the 65% Fe iron ore index,...

Mixed outlook for gold as it remains range bound for past three months

Gold stocks down on flat metal price

Gold stocks down on metal decline

Huge quantifiable rise in geopolitical, economic and trade risks

Platinum clearly ahead of palladium for first time in seven years