Data: SHFE, DCE market movement (Aug 11)

On August 11 China's steel export prices were mixed. Most flat-product export prices held flat day on day with some edging up 1 USD/tonne, and HRC transactions were at 482-485 USD/tonne; enquiries still showed no clear pick-up in volume, low prices could win some business while current offers largely failed to secure firm deals. Billet export FOB prices were steady, with Jiangyin port offers at 450-455 USD/tonne, as Chinese exportoffers hold little advantage against those of major overseas exporting mills and there is limited room to concede further. Rebar export offers at Tianjin port fell 2 USD/tonne with transactions at 472-477 USD/tonne; overseas enquiries improved slightly, demand from Africa and Israel was relatively strong and a few mills sold at concessionary prices, but overall trading was ordinary.

Today, the iron ore market showed a relatively strong performance on the futures market. The DCE main contract I2609 closed at 721.5 yuan/ton, up 1.26% from the previous trading session. Spot prices at Qingdao Port rose by an average of about 3-6 yuan/ton from the previous trading day.

Iron ore concentrate prices in the Tangshan area edged down, with the current EXW price for 66-grade iron ore concentrates on a dry basis and tax-included at 950-955 yuan/mt. At mines and beneficiation plants, iron ore concentrate resources remain tight currently, but overall supply is relatively looser than in the previous period.