Iron ore stone market narrow adjustment run next week market consolidation run
This week the domestic iron ore market is running in a narrow range. Domestic mining, the market price narrow adjustment. In terms of imported ore, spot prices rose. The market price rose sharply at the beginning of the week, continued to rise in the middle of the week, and fell slightly towards the end of the week. On the supply side, although there is a slight decline in foreign mining shipments, it is still at a relatively high level, the temperature in the north is warming, the efficiency of port unloading is improving, the port inventory continues the trend of accumulation, and the overall supply is temporarily stable; On the demand side, affected by the weakening of seasonal demand and the loss of steel mills, the output of molten iron continues to decline, the overhaul plan continues to increase, it is expected that molten iron will continue to fall back, the current spot price is high, steel mills are not enough power to replenish inventory, but the year is approaching, the follow-up steel mills are expected to continue to replenish raw materials, and the follow-up needs to pay attention to the rhythm of steel mills winter storage. This week, in the Pilbara region, a number of iron ore cars derailed on the Fortescue train line, Fortescue’s normal rail operations were suspended, the specific impact is unknown, need to follow up. On the whole, the iron ore market supply stability demand is weak, is expected to consolidate the iron ore market next week.
Domestic ore market
Domestic mine prices this week narrow adjustment operation. The market price is stable at the beginning of the week. In Shandong area, the tradable resources of mainstream port powder ore are abundant. On the demand side, affected by rising spot prices, steel production costs are at a high level, steel mill profits are poor, production enthusiasm is weakened, steel production is falling slightly, and the table needs to decrease slightly inventory continues to accumulate. In Chengde region, the local leading mining enterprises maintain normal production, the quotation is stable, the overall shipment sentiment is OK, the market resources are still tense, most of them are in low storage operation, and the circulation of high titanium resources is poor, with a slight accumulation phenomenon. In the western Liaoning region, Chaoyang mining enterprises produce less, the supply of resources is tight, and the production situation of Jianping mining beneficiation enterprises is still stable, but the surrounding market is up, supporting the seller’s price mentality, the overall offer is still high, and only a few high-price enterprises offer a slight correction. Steel mill procurement is mainly based on the inventory of the material factory, the market inquiry demand is weak, and the trading is cold.
Mid-week market prices were mostly steady. In Tangshan area, affected by environmental protection policies, mining enterprises have stopped production for several days, inventories continue to decline, spot circulation is decreasing, and under the influence of factors such as the recent upward trend of the disk and the higher production cost of raw materials, individual cargo manufacturers hold high prices, and the bullish attitude is not reduced; Steel mill profits are not good to maintain just need to replenish the inventory, procurement caution, more view today’s leading steel enterprise procurement. In Shanxi region, the shortage of fine powder resources in the region continues, and the price of the surrounding market is becoming stronger, and the quotation of the goods manufacturers is high, and the shipment enthusiasm is OK; In the steel production enterprises, the acceptance of local high price resources is not high, and more inquiries are made from the surrounding areas, and the overall trading volume is slightly cold. In Sichuan region, mining companies have sufficient orders and strong insurance mentality. Recently, with the high price of iron and raw materials, the overall purchase cost of steel enterprises has increased, the profit level has declined, and the pressure on steel enterprises has increased.
Towards the end of the week, market prices were stable. In Anhui region, mining enterprises normally produce and execute orders, because the market resources are slightly tight, the behavior of holding goods is obvious; Regional traders due to the high cost of raw materials, superimposed shipment situation is general, so the activity is general. The current price of the market continues to rise, the profits of steel enterprises are under pressure, and the inquiry is more cautious, because the inventory is still in the short term, and the mood is more wait-and-see. In Shandong region, regional mining enterprises are affected by the iron ore plate oscillation, traders are cautious in their inquiries, and mining enterprises are slightly exhausted, so the quotation of mining enterprises is stable and more along with the market; Local steel mill profit is still at a loss, raw material demand slightly weakened, maintain just need to purchase, more wait and see the future market. In the western Liaoning region, the current market resources are still in a state of shortage, the high asking price of mining is not reduced, and the traders’ inquiry is OK, but consider their own profits, procurement is more cautious, coupled with market news next week steel mills or will carry out the next round of bidding, the market is watching steel mill dynamics, the overall transaction has decreased.
Lange steel network monitoring data show that as of January 5, Tangshan area 66% acid powder wet base excluding tax mainstream market price of 1030 yuan, up 20 yuan from the previous week. 66% acid powder dry base including tax mainstream market price of 1295 yuan, up 25 yuan from the previous week. The market price of 63-64% alkali powder wet base excluding tax in Wuan area is 1100 yuan, up 30 yuan from the previous week. The market price of 65%-66% acid powder wet base excluding tax in Benxi area is 990 yuan, up 40 yuan from the previous week. Zibo area 65%-66% acid dry base tax acceptance market price of 1280 yuan, up 35 yuan from the previous week.
Imported ore market
In terms of imported ore, spot prices rose. At the beginning of the week, the market price rose sharply, the iron ore swap rose significantly, and the recent Fortescue’s normal railway operation suspension news affected the stimulus, the domestic iron ore plate pulled up, boosting market confidence, traders quoted positive prices, prices with the market; The end of the year is approaching, the demand for replenishment of raw materials in winter is gradually released, and the iron ore inventory of steel mills is low. Midweek market prices continue to rise, C3 sea freight rises, iron ore costs increase, today iron ore plate continues to pull up, traders shipping actively, the price is based on the market; The cost of molten iron is reduced in the first round of coke，but due to the rise in iron ore prices, the cost of molten iron is still at a high level, and the profit of steel mills is not good. Although the demand side has the support of winter storage demand, due to the high price, the power to replenish the storage is slightly insufficient, the inquiry is more cautious, and the market transaction is general; Near the weekend, the market price fell slightly, the iron ore plate is weak, the market sentiment is cautious, traders wait-and-see sentiment is strong, and the price is mainly shipped; The spot price is high, and the steel mill is in a state of loss, the procurement inquiry is cautious, the demand is mainly replenished, and the market turnover is less.
