MMi Daily Iron Ore Report (Sept 4)

DCE iron ore futures market dropped further and I2201 slumped by 5.92% over yesterday. Quotations in the physical port stock market declined by 10-20yuan/mt, and total transactions continued to be deserted. Some traders held their quotations relatively firm, while the bargaining space expanded.

Physical port stock quotes held firm, though concluded transactions were down on yesterday.

As of Aug 16, iron ore stocks across 35 Chinese ports shrank 2.04 million mt from a week ago and 32.17 million mt from a year ago

Market sentiment continued to weaken today, with futures and physical trading down on yesterday.

As of May 17, iron ore stocks across 35 Chinese ports shrank 830,000 mt from a week ago and 21.13 million mt from a year ago, and stood at 123.67 million mt, SMM statistics showed.

A very strong physical trading session today, with PB Fines in Tangshan trading at levels close to 700 RMB/wt, up about 15-20yuan/mt over yesterday.

Traders were active in the port stock market today and some a willingness to cut their offers to close a deal as mills.

Due to the upcoming May holiday, some mills in East and North China finished their restocking yesterday, with prices stable over that on last Friday.

Iron ore inventory at 35 major Chinese ports rose by 880,000 mt to 143.06 million mt as of Friday as demand fell along the Ya ngtze River.