Analysts and mines experts have predicted that prices of iron ore could fall to reach as low as $140/MT in the coming months.
In September, spot iron ore prices crossed the level of $181/MT, but on prices on Monday fell sharply to reach $150-153/MT.
Analysts and mines experts said the commodity's weakening prices could extend in the early part of this quarter.
''In China, steel prices have been under pressure recently, the government's monetary supply restrictions to rein in inflation have impacted on steel mills and their downstream processes in particular,'' he said.
“The fourth quarter will be much more difficult than what was expected in terms of prices in China,” Marco Saravalle, an equity analyst at Coinvalores Corretora de Valores, told Bloomberg. “There's a formula. But there is no way to escape spot prices for very long.”
Leave a Reply