Chinese steel mills are scaling back their purchases of iron ore while selling off their stocks of the material, leading to 5-month lows in the iron ore price, according to the FT.
“The price of benchmark Australian iron ore with 62 per cent iron content has fallen 12.5 per cent in the past month. On Monday, it dropped to $123 a tonne, the lowest since December, according to The Steel Index,” reported Jack Farchy.
Current Steel and Raw Material Input Prices
Chinese steel and raw materials prices were generally quiet for the day. The prices of iron ore 58% fines from India on our MetalMiner IndX℠ inched up very slightly on the day. Chinese HRC saw little change in its price yesterday. The price of Chinese coking coal saw essentially no change for the fifth day in a row.
At $130.00 per metric ton, the steel billet cash price on the LME was down 3.7 percent from the previous market day. The steel billet 3-month price showed little movement yesterday on the LME at $160.00 per metric ton.
The 3-month price of the US HRC futures contract showed little movement on Monday, hovering around $595.00 per short ton. The spot price of the US HRC futures contract held steady around $578.00 per short ton.