Latest Update in the China Iron Ore Market

Although DCE iron ore futures market maintained relatively firm tendency, mills still perform to be tepid in purchasing due to the falling in steel products prices. The transaction prices of iron ore in the physical port stock market mixed with small ups and downs.

The following table shows the ferrous and nonferrous metals movement on the SHFE and DCE on November 25, 2020

The dollar fell on Tuesday as risk appetite improved after U.S. President Donald Trump accepted the transition to a Joe Biden presidency and on optimism that COVID-19 vaccines are close to being rolled out.

A total of 87 vessels carrying 14.52 million mt of iron ore arrived at major Chinese ports during November 15-21, SMM estimates. This was up 1.17 million from the previous week and 2.33 million mt from the same period last year. While arrivals in Shandong increased nearly 1.5 million on the week, there was a slight drop in the amount of iron ore arriving in Tangshan.

The following table shows the ferrous and nonferrous metals movement on the SHFE and DCE on November 24, 2020

China exported 2.44 million mt of steel plate in October 2020, down 15.1% year on year, according to the latest customs data. Exports in January-April also decreased 18.7% from the same period last year and came in at 26.9 million mt. 

A total of 87 vessels carrying 14.52 million mt of iron ore arrived at major Chinese ports during November 15-21, SMM estimates. This was up 1.17 million from the previous week and 2.33 million mt from the same period last year.

The dollar bounced off an almost three-month low against a basket of currencies hit on Monday following optimism over another COVID-19 vaccine as the index approached a technical support level that if broken, could signal further weakness for the greenback.