Friday, April 01,
Spot iron ore prices moved up further by $2/MT as Chinese buyers continue to replenish their stocks.*, but traders are still bracing for another slump.
According to traders, “We may have seen a jump this week but generally people are in the market for one or two shipments and that’s it — they will buy what they need, but stockpiles are still pretty high”
The ongoing concerns about supply remain intact with the industry still waiting for an April 4 hearing by India’s supreme court on the legality of a supply ban from the country’s biggest iron ore producing state, Karnataka.
“If we see a loosening up from Karnataka and a bit more supply coming onto the market, the monsoon season notwithstanding, that could reduce the tightness and prices should soften a bit more,” said Sebastian Lewis, head of Asia research and consulting with Steel Business Briefing in Shanghai.
Source: Reuters
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