This week saw the Chinese end-users snapping up Pilbara Blend fines eagerly, consisting a nearly 55% of the total trades done for the week ended 22 Nov 2019.
The stock of medium grade ores was due to the higher steel margins which ranged around at RMB 200/mt and RMB 600/mt for flats and longs steel products.
Besides, the restocks also coincided with the lower steel inventory that went down for the ninth consecutive week, which went down 753,300 mt on week.
In contrast, high grade ores like Carajas fines failed to enjoy the popularity seen in last week, which accounted most of the trades done for the week ended at 15 Nov 2019.
Going forward, trade participants expect more supply of high silica products in the market to meet demand, while iron ore lump demand is also expected to rise upon stringent sintering.