DCE iron ore futures market plummeted sharply today and the actual transaction prices declined further although some traders in the morning held their quotations firm. PBF in Shandong market was concluded at 1210-1225yuan/mt, with price down of 35- 55yuan/mt over yesterday. Low grade iron ore product of SSF was closed at 825yuan/mt in Shandong market, fell by 65yuan/mt. As for iron ore demands, SMM’s blast furnace operating rates this week declined by 0.1% to 81.1% over last week, and some steel mills who have no production cut missions started increasing their purchasing given their previous low-level raw materials inventory in plants. SMM’s latest data showed, the iron ore inventory at domestic major six ports decreased, especially obvious decrements in mainstream fines and lump products, which may offer certain supports to iron ore prices in the short run.
Source: Metals Market Index (MMi)