SMM Daily Comment On Domestic Iron Ore Market (Sep 8)

The domestic iron ore market in western Liaoning moved sideways. Bolstered by local iron concentrate supply tightness, iron ore concentrate prices stood high, feeding into good selling appetites from beneficiation plants. A few beneficiation plants sold iron ore concentrate to hold onto profits, while some kept their offers firm. Currently, given tighter iron ore price supervision made by relevant national departments, most traders and stockyards in western Liaoning aimed to meet steel mills’ orders, and took a prudent attitude towards the market outlook. The profit situation of steel mills is average, and the willingness to lower prices remains. Moderate profit left steel mills with strong willingness to cut bids for iron ore. It is expected that iron ore prices in western Liaoning may creep down to a certain extent in a near future.