SMM daily comment on domestic iron ore market (Aug 29)

SHANGHAI, Aug 29 (SMM) –

The iron ore market in western Liaoning was mainly operating stably. And now the ex-factory 66-grade alkali concentrates prices were 790-800 yuan/mt (tax-excluded, on a wet basis). Beneficiation plants held a strong willingness to push price up, however, traders found difficult to accept high-priced supply for their own profits. Recently, the shortage of local resources in Tangshan eased, and the enthusiasm for purchasing from western Liaoning was low, so there were only a small amount of shipments. In terms of steel mills, steel mill profits continued to be under declining pressure due to low steel prices. Although steel mills are inclined to push down the price, the demand for iron ore concentrate from is still high since no local production reduction plans, which forms a certain support for the price. It is expected that the local ore price will be stable in the near future.