Market Verdict on Iron Ore：
· Neutral.
Macro
· According to the China National Bureau of Statistics, from January to August, industrial enterprises above designated size achieved a total profit of 5605.14 billion yuan, a year-on-year increase of 49.5%, an increase of 42.9% over January to August 2019, and an average increase of 19.5% over the past two years. In the next stage, we should implement policies and measures to ensure the supply and price stability of commodities.
· China Liaoning province issued an orange warning of power shortage, and Anhui and Zhejiang province started saving mode to use electricity.
Iron Ore Key Indicators:
· Platts62 $112.35, -6.30, MTD $119.96.
· MySteel data indicated the seven major Australia and Brazil iron ore ports inventories reached 11.38 million tonnes, down 1.62 million tonnes, the relative low area of the year.
SGX Iron Ore 62% Futures& Options Open Interest (Sep 28th)
· Futures 83,623,300 tonnes(Increase 932,300 tonnes)
· Options 95,633,000 tonnes(Increase 215,000 tonnes)
Steel Key Indicators
· The control on pollution and high energy consumption in Jiangsu Province, China has a 3 million tonnes of steel production decrease estimated.
