Global iron ore prices are assessed at USD 56/MT, CFR China on 17 May’16. Prices are up as there were slightly better sentiments after a rise in Chinese steel market.
Spot steel prices witnessed a sharp increase providing support for iron ore deals taking place at higher prices. BHP Billiton sold 90,000 MT of 57.3% Fe Yandi fines at USD 47.7/MT CFR via a private tender. Also, another tender for 170,000 MT June-arrival cargo of 62% Fe Pilbara Blend fines was sold at USD 55.50/MT CFR on Global Ore.
Spot billet prices in Tangshan rose by RMB 70/MT (USD 11/MT) today, whereas, Spot rebar price in Beijing edged up by RMB 10/MT. Currently, Chinese billet prices were assessed at RMB 1,990/MT (USD 306).
Chinese Port based traders are selling their cargoes at lower prices, who bought them at higher prices and still holding on, in the hopes of further upside. However, fundamentals remain unchanged with Chinese mills and traders lowering their iron ore stockpiles instead of building them.
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