Spot iron ore prices continued to remain bearish as steel prices in China kept falling.Though there is some good news as Chinese government has decided to speed up projects, which will certainly improve steel demand in medium to long term.
” Spot 63.5/63 Fe drops down to $136-137/t CFR, where as Vale (Brazilian miner) sold 63.7% Fe cargo at $134/t. Looking at over supply from Brazil and Australia, spot iron ore prices have scope to correct further by $4-5/t” said a Chinese importer based in Beijing.
It is also reported that HRC prices in China trading at 1-yr low on strong dollar against Euro and Indian Rupee. Importers are unwilling to place orders looking at fluctuating currency.
Supply from India remained critical, with Goa on the verge of shutting down due to monsoon and Karnataka unlikely to start operations soon.
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