Spot iron ore prices in China steady for now, contract prices likely to go up in Jan 2011

Friday, November 26,

 

 

Spot iron ore prices remained unchanged with buying interest not so strong

 

Sesa Goa sold its 63.5/63 cargo at 169.50 CFR China this week

 

Iron ore contract prices might go up by 7% in the first quarter of 2011. Contract prices almost doubled in the April quarter and gained more than 20 percent in the July-to-September period before falling 13 percent in September-to-November.

 

“Steelmakers will face pressure from higher costs and eroding profits in the first quarter,”said, Xu Xiangchun, chief analyst with Mysteel Research Institute. As a result steelmakers in China might feel the need to raise prices in order to pass on higher raw-material costs as demand slows in winter.

 

 


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