The spot market
During the reporting period (March 29, 2021 solstice April 2, 2021), the price of imported iron ore fluctuated widely and the overall price rose on a month-on-month basis. On the supply side, the last Mysteel new caliber iron ore from Australia and Brazil shipped 28.076 million tons, a month-on-month increase of 5.137 million tons, hitting a new high this year. Due to the impact of hurricane weather and berth maintenance in Australia, the shipping volume remained low. In this period, the shipping volume increased by 4.945 million tons to 21.584 million tons compared with the previous period, hitting a new high in Australia this year. Shipments from Brazil rose slightly by 192,000 tonnes month-on-month to 6.492 million tonnes, higher than this year’s weekly average of 267,000 tonnes. In terms of demand, the operating rate of blast furnace of 247 steel mills surveyed by Mysteel was 77.47%, down 2.08% from the previous month and 6.25% from last year. The average daily output of molten iron was 2,313,700 tons, down 36,800 tons month-on-month and up 65,400 tons year-on-year.
On April 2nd, the spot price index price of 62% iron ore terminals was 1136.66 yuan/ton, 11.66 yuan/ton higher than the closing price of 1125 yuan/ton in the previous week (Figure 1). On April 1, the Chinese CFR spot index of 62% iron ore was CNY 1095.25 / ton, up CNY 39.76 / ton from CNY 1055.49 / ton at the close of the previous week (Figure 2).
Figure 1 Trend of Qingdao Port Imported Iron Ore Spot Price Index
Figure 2 Trend of 62% iron ore China CFR spot index
Swap market,
During the reporting period (Mar 29, 2021 solstice Apr 2, 2021), the main CPIS contract, CPIS0421, rose to settle at CNY 1,070.24 / ton on April 2, up CNY 49.04 / ton from CNY 1,021.2 / ton in the previous week (Fig. 3).
Figure 3 Price action of CPIS0421
(2021.3.8-2021.4.2)
(The information contained in this report is for reference only and does not constitute investment advice to anyone.)
Post time: 16-04-21