Spot iron ore prices in China remain firm. However, market
players do not see further increases in prices as slow demand growth in China
has made the steel mills cautious to procure larger quantities of Iron ore.
Indian fines Fe 63.5/63 stays at $151- 152/MT on Friday,
i.e. unchanged from the previous close.
“I expect $150/MT to be the near-term peak for iron ore
prices as there is not much support from steel prices. Steel mills have
plentiful iron ore inventories now and are taking a cautious attitude in buying”,
said an iron ore trader in Shanghai.
The most-traded October rebar contract on the Shanghai
Futures Exchange stood almost flat at
4,321 yuan ($690) a tonne by the midday close on Friday, up by mere 0.02
percent.
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