Offer for Spot iron ore dips further on Friday signaling weak demand in
China. Also, there is a large number of Brazilian Capesize cargoes offered in
the market, which is putting pressure on the prices.
Indian exporters have cut their offers for Fe 63.6/63 to $138-139/MT amid weak
buying interest. Offers for Australian Newman
fines also went down to reach $136-138/MT (CNF CHINA)
Slower steel demand has curbed production of the building material and
cut China's appetite for iron ore, with prices falling continuously.
Moreover, Brazil's Vale, the No. 1 iron ore miner, has been selling
material into the spot market “at a significant discount to prevailing
market levels,” said Steel Index, noting that 240,000 tonnes of Brazilian
63.35-grade iron ore fines were sold at $135.7 a tonne, C&F, this week.
“Market Sentiments are weak
at present with Steel prices & the value of the Renminbi against the Dollar
also sliding. So chances are less for prices to move up sharply”, said a Chinese trader.
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