Ferrous Market Updates
– Mysteel researched 247 blast furnace operation rate at 90.63%, down 0.39% w-o-w. Utilisation rate 93.08%, down 2.27% w-o-w. Daily pig iron production 2.48 million tonnes, down 7,200 tonnes w-o-w.
– Mysteel 45 ports iron ores inventory 108.78 million tonnes, up 693,300 tonnes w-o-w. Daily evacuation 3.16 million tonnes, up 6,000 tonnes w-o-w. Austrilian iron ores inventory 59.91 million tonnes, down 1.58 million tonnes w-o-w. Brazil iron ores inventory 23.86 million tonnes, up 1.44 million tonnes w-o-w. 142 ships at ports down 5 w-o-w.
– Australia Newcastle Port export 78.6 million tonnes of coals from Jan- Jun, down 1.8% y-o-y. Russian Port Kooragang Jan- Jun coal export 13.8 million tonnes, up 6% y-o-y.
Downstream
– China Jan – Jun total sold 170,425 exavators, up 24.2% y-o-y.
– Chinese yuan appreciate 2.9% over previous month to 6.9855. Some macro analysts believed that the strong Chinese yuan is indicator of foreign investments on China stock market and debt markets which outperformed the rest of the world.
SGX Iron Ore 62% Futures& Options Open Interest(Jul 9th)
– Futures 66,130,000 tonnes(increase 1,090,600 tonnes)
– Options 98,867,600 tonnes(increase 3,512,000 tonnes)
Verdict
– Short-term be aware of high level taking gains.