SteelMint’s weekly index for India’s low-grade iron ore fines (Fe 57%) exports stood at $61/t FOB east coast, up $6/t w-o-w. The index has moved up tracking the hike in futures today after China returned from a weeklong holiday. However, physical trades are yet to regain momentum, sources highlighted.
Price indicators:
- No deal was reported so far this week, hence, not taken into price calculation under T1 trade and given no weightage in index calculation. Click here for methodology.
- SteelMint received eight (08) indicative prices, bids and offers in the current publishing window and seven (07) were considered for price calculation as T2 inputs and given 100% weightage.
Prices for low-grade fines rose sharply in April, owing to China’s thin steel margins. Monthly discounts for May-loading Super Special Fines (SSF) narrowed to 23% from 31% for April-loading cargoes.
“Market is very silent. Just futures have improved. but no firm deals were reported this week from India”, said an Indian trader source.
Market highlights:
- Fe 62% spot iron ore prices up $2/t w-o-w: The spot price of benchmark iron ore (Fe 62%) fines increased $2.45/t w-o-w to $142.9/t CFR China on 4 May, 2022 as against $140.45/t a week ago. Seaborne iron ore prices rose marginally, due to a mild recovery in medium-grade fines buying interest.
- DCE iron ore futures sharply increase on week: DCE iron ore futures’ September contract closed at RMB 871.5/t ($132/t) on 5 May, 2022, increased by RMB 20/t ($3/t) compared with the previous week. On a daily basis, prices inched up by around RMB 2/t ($0.30/t).
- Port inventories in China inch up: Iron ore inventory at major Chinese ports inched up to 149 mnt on 28 April, 2022 compared to 148.6 mnt last week, as per SteelHome data.
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