Iron-ore prices tumbled to a 5½-year low as a sharp decline in steel prices and softening iron-ore demand from China, the world’s largest consumer, weigh on prices of the steelmaking material.
The price of ore with 62% iron content fell 3.9% Monday to $63.30 a metric ton at China’s Tianjin Port, according to The Steel Index. That is its lowest level since May 2009.
Chinese HRC had the largest decline on Monday, January 26, dropping 4.0% and landing at CNY 2,630 ($419.18) per metric ton. For the fifth day in a row, the price of Chinese coking coal remained essentially flat at CNY 1,080 ($172.13) per metric ton. Chinese slab stayed flat at around CNY 2,430 ($387.30) per metric ton. The price of iron ore 58% fines from India hit a high price of CNY 840.00 ($133.88) and a low price of CNY 840.00 ($133.88) per dry metric ton.
The steel billet cash price held steady on the LME at $500.00 per metric ton. The 3-month price of steel billet saw little movement on the LME at $480.00 per metric ton.
US HRC futures contract 3 month saw its price drop 0.5% to a 30-day low of $572.00 per short ton yesterday. The spot price of the US HRC futures contract held steady around $583.00 per short ton.