Heavy rain in Brazil to hit Iron ore Shipment, spot iron ore prices up by $1-2

Vale has declared
force majeure on iron ore shipments due to heavy rains in Brazil- 2 million tonnes of
iron ore shipments likely to affect. It has affected operations of the company in South and
Southeast systems.

It is expected that company is likely to loose nearly 2mn
tonnes of iron ore shipments.

Current period is generally
peak time of iron ore demand on account of restocking of iron ore inventory
before the Chinese new year. Affected operations of Vale will reduce the supply
of iron ore globally and support the iron ore prices at higher levels.

Indian 63.5/63 Fe reaches $149-150 per ton (CnF, China) up by $1. It is also reported at Indian miner has concluded a deal of 58/57 Fe at $ 103 per ton from Goa port.

Shipments from Eastern ports of India remains silent on unavailability and higher cost of Iron ore