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[SMM brief Review] the impact of production restriction is over. Iron ore V-shaped rebound.
Sep 23,2020 16:35CST
translation
Source:SMM
On the whole, the iron ore supply side is gradually steadily improving, the inventory structural problems have been improved to a certain extent, and the port pressure problem has gradually alleviated and the overall inventory has rebounded steadily. The current period of iron ore arrival and departure are significantly lower than the month-on-month, superimposed some steel mills still have pre-festival replenishment demand, for the recent continuous decline in the current market may have a certain boost.
The content below was translated by Tencent automatically for reference.

SMM9 March 23: today's iron ore market first depressed and then rose, the market continued to fall in the morning, the lowest hit the 750mark. After continuing low concussion in the afternoon, it rebounded quickly near the end of the session. By the end of the day, iron ore 2101 closed at 766.5, down 0.65%. On the news side, the Tangshan Municipal Government issued a notice on further stringent Control measures yesterday, deciding that on the basis of implementing the Tangshan Air quality Assurance Plan for August to September 2020, and on the premise of ensuring safety, strict control measures will be tightened from 20:00 on September 22nd, with further notice for lifting. And requested that after the implementation of this notice, the "on further tightening controls and measures" issued on September 18 will be suspended. In addition, 3 new blast furnaces were added in Wu'an, and 11 steel enterprises in Tangshan worked out a precise control plan of "one plant, one volume" for pollution control; Tangshan Zunhua and Fengrun released the arrangement for steel enterprises to stop production and limit production in September, and iron ore futures prices have fallen all the way since this week.

On the supply side, according to SMM tracking data, a total of 76 ships arrived at China's main ports from September 13 to September 19, with an estimated arrival volume of 12.2 million tons, a sharp drop of 2.44 million tons compared with the previous period; the month-on-month increase in the main port of Shandong decreased significantly, and the month-on-month increase in arrival in Tangshan area exceeded 20%. During the period, Australia's outward departure fell by 750000 tons to 15.27 million tons, an increase of 2.09 million tons compared with the same period last year, while Brazil's current period of departure dropped significantly by 2.08 million tons to 6.59 million tons, basically the same as the same period last year.

On the whole, the iron ore supply side is gradually steadily improving, the inventory structural problems have been improved to a certain extent, and the port pressure problem has gradually alleviated and the overall inventory has rebounded steadily. The current period of iron ore arrival and departure are significantly lower than the month-on-month, superimposed some steel mills still have pre-festival replenishment demand, for the recent continuous decline in the current market may have a certain boost.

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