Ferrous Market
– MySteel 45 ports iron ore inventory at 116.16 million tonnes, up 1.23 million tonnes w-o-w. Daily evacuation 3.13 million tonnes down 47,100 tonnes w-o-w. Australia iron ore on ports at 57.37 million tonnes up 608,300 tonnes w-o-w. Brazil iron ore on ports at 31.69 million tonnes up 969,200 tonnes w-o-w. 157 ships at ports up 15 ships w-o-w.
– Mysteel researched 247 blast furnace operation rate at 89.06%, down 1.56% w-o-w. Utilisation rate 93.69%, down 0.56% w-o-w. Daily pig iron production 2.49 million tonnes, down 14,900 tonnes.
– World steel association statistic indicated 64 countries’ crude steel production at 156 million tonnes, up 0.6% y-o-y. China up 8.4% in august, contributed the most of the growth. Ex-China countries total down 9.5% in August.
Pandemic
– U.K. increased 6,634 new Covid-19 cases, France 16,069 cases, both created the single day highest. Canadian PM indicated the second round of pandemic has started.
SGX Iron Ore 62% Futures& Options Open Interest(Sep 24th)
– Futures 88,532,400 tonnes(increase 290,400 tonnes)
– Options 117,335,500 tonnes(increase 1,120,000 tonnes)
Verdict
– Short-term bearish.