Spot iron ore prices in China fell by $5-6/MT to reach 2
month low by the end of the week as global economic uncertainties kept buyers cautious.
Highlights of the week:
* Quotes for Fe 63.5/63 of Indian fines reached $178MT from
the previous week's quote of $184-185/MT. Australian 62% Newman fines also
slipped down to reach $172/MT from the previous prices of $178/MT.
* Prices of Singapore Exchange-cleared forward swaps also dropped
with the nearby October contract down by $2.33 to reach $158.17/MT, at least
$12 cheaper than spot rates.
Comment by:
Trader: “The
global uncertainty has put Chinese buyers on snooze and with China preparing
for golden week, starting from 1st Oct; buyers are unwilling to take
any position until market takes a clear direction. The overall market sentiment is still quite
confusing due to uncertainties in the global economy. However, expectations are
there for a rebound in prices but defining the time frame is difficult”.
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