Spot iron ore prices remain stable; Fe 63.5/63 at $145/MT

Spot iron ore prices remain stable on Monday and Chinese steel mills are
not very optimistic about the demand outlook.

Indian origin Fe 63.5/63 cargo hovers around $145/MT (CnF). Whereas,
Australian PB fines Fe 61.5 (Equivalent to Indian 62 % Fe) was heard traded at $140-141
per tonne (CNF China).

“Chinese steel mills have no confidence in the market in the short
term, demand is still low and we expect this to continue until February,”
said an iron ore trader in Shanghai.

Thin demand for steel is limiting buying interest among the Chinese
for raw material iron ore before the week-long holiday that starts on Jan. 23.

The most-traded May rebar contract on the Shanghai Futures Exchange
dropped 0.3 percent to close at 4,185 yuan a tonne , its second loss in four
sessions.