Market Verdict on Iron Ore：
· Iron ore short-run neutral.
Macro
· In July, the electricity consumption continued to grow at 775.8 billion kwh, a year-on-year increase of 12.8%, an increase of 16.3% over the same period in 2019, and an average increase of 7.8% in the two years.
Iron Ore Key Indicators:
· Platts62 $161.45 (-4.75) MTD $172.73.
· MySteel 45 ports iron ore inventories at 126.28 million tonnes, down 110,000 tonnes w-o-w. Daily evacuation 2.99 million tonnes, up 148,000 tonnes w-o-w. Australia iron ore 64.12 million tonnes, up 191,000 tonnes w-o-w. Brazil iron ore 34.91 million tonnes, up 338,400 tonnes w-o-w. 199 ships at ports, up 7.
· Tangshan 126 blast furnaces maintance, total impact 1.05 million tonnes crude steel production on weekly basis. Utilisation rate at 63.71%, down 0.33% from last week, down 27.53% from last year.
SGX Iron Ore 62% Futures& Options Open Interest (Aug 12th)
· Futures 76,589,700 tonnes(Increase 120,400 tonnes)
· Options 69,809,900 tonnes(Increase 322,500 tonnes)
Steel Key Indicators
· MySteel researched 247 blast furnace operation rate at 75%, up 0.39% w-o-w. Utilisation rate at 85.89%, up 0.17% w-o-w. Daily pig iron production 2.29 million tonnes, up 4,500 tonnes w-o-w.
· CISA surveyed in early August daily crude steel production 2.04 million tonnes, down 2.97% m-o-m, daily pig iron production 1.83 million tonnes, down 2.66% m-o-m. Steel daily production 1.92 million tonnes, down 9.46% m-o-m.
