Wednesday, May 25,
Spot iron ore prices in China remain unchanged. Indian exporters quote Fe 63.5/63 at $180-181/MT.*
The physical market confusion still prevails as steel futures prices do not show any consistent direction. Chinese steel also mills face power rationing and are bound to keep the production low.
“Steel mills have continued to maintain their stockpiles at low levels, equivalent to around 20 days of production, and I would not buy large volumes if I was a steelmaker,” said an iron ore trader in coastal Shandong province.
Big Indian suppliers have continued to offer the steelmaking raw material at above $180 per tonne, though the majority of small- and medium-sized Chinese steel mills have shunned large cargoes for more than a month.
According to traders in China, “Prices are likely to slump slightly we might see prices touch $175/MT in near term”
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