Iron ore prices moved down to USD 84/MT closer to last four weeks low, it was recorded USD 83/MT on 2nd Feb’17. Amid the thin activity in the futures market iron ore prices nosedived sharply today.
According to some participants the reason cited for the fall in prices is the announcement by the Chinese Central bank to control over the property lending rates by commercial banks. As the futures fell, buyers withheld orders in expectations of further decline in prices.
The record port inventories too are playing a key role in reduced demand for the higher grade material in turn downward prices, as the stocks are high against the demand.
Billet
Billet traded at 3,190 Yuan (USD 462/MT) including VAT, down 60 Yuan (USD 9/MT) per tonne from Tuesday.
Dalian Commodity Exchange
Close: 577 Yuan (USD 83.60/MT) Change from previous close: down by 28.50 Yuan (USD 4.10/MT) per tonne
Shanghai Futures Exchange
Rebar futures contract closed at 3,117 Yuan (USD 452/MT) on Wednesday, down 112 Yuan (USD 16/MT) from Tuesday’s closing price.
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