Chinese futures closed the week on positive note after a rally at afternoon session as China’s port inventory dropped to the lowest level in four years. Thus, the most-actively traded iron ore futures on the Dalian Commodity Exchange (DCE), for September delivery, rose by 1.90% day-on-day to RMB 777 per tonne on Friday. The steel …
Category archives: News
Crude extends losses on ‘second wave’ fears
The crude market extended losses overnight as a surge in U.S. Coronavirus cases this week raised the prospect of a second wave of the COVID-19 outbreak hitting demand in the world’s biggest consumer of crude and fuel. Traders are concerned about signs that Coronavirus cases in the U.S. are continuing to rise and topped …
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Panamax futures remain buoyant on China soybean purchases
Panamax futures remained buoyant this week as China continued to buy US Soybeans, despite increased political tensions over Hong Kong. The Q4 futures rallied 5.5% on Wednesday as the world’s second largest economy was revealed as purchasing 10 cargoes of soybeans this month from the U.S. alone, according to Bloomberg. China needs beans and remains …
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DCE flattens amid rainy season
Chinese futures remained almost flat on limited market activity as buyers prepared for lower steel demand during rainy season. As such, the most-actively traded iron ore futures on the Dalian Commodity Exchange (DCE), for September delivery, dipped slightly by 0.59% day-on-day to RMB 759 per tonne on Thursday. Similarly, there was not much movement in …
Capesize rates race ahead on robust shipping demand
Capesize rates continued to race upward with better shipping demand in both basins, supported by the recent iron ore rally. The Capesize 5 time charter average surged up by another $1,087 day-on-day to $9,142 on Wednesday, marking a rise throughout the week. Likewise, the Baltic Dry Index (BDI) continued to hike and reached 764 points …
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Oil Through the Looking Glass 11/6/20
Unexpected Build? The EIA confirmed a large build in US crude stocks at 5.7 mil bbls to put stocks at 538.1 million bbls, a historic record excluding US strategic reserves. This was caused largely by the shipments from Saudi Arabia from the price war pumping in March and April. We knew from the effects on …
Iron ore softer as pundits exchange views on supply outlook
Iron ore futures were a touch softer on Wednesday as investors assessed the supply outlook for iron ore following the recent closure of Vale’s Itabria complex. Investors grew concerned over tight supply after Vale was ordered to shut down Itabria, which accounts for over 10% of Vale’s output, in the state of Minas Gerais …
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Oil Through the Looking Glass 10/6/20
The Glut is Back Those of you who have been watching your crude ticker this morning will see many red numbers on the screen. The reason for this has been the switch of sentiment to concerns about oversupply. We have had reports late last night that the API have predicted a large build in US …
Capesize pushes ahead with iron ore rally
Capesize rates continued to push forward with firm iron ore demand that pushed for more shipping activities in the Pacific market. Thus, the Capesize 5 time charter average hiked up by another $310 day-on-day to $8,055 on Tuesday, for the second consecutive day-rise for the week. Following the rally, the Baltic Dry Index (BDI) broke …
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DCE slides for second day on cautious buying
Chinese futures dropped on limited buying interest as procurement slowed down and buyers digested high prices and supply impact in the market. The most-actively traded iron ore futures on the Dalian Commodity Exchange (DCE), for September delivery, continued to descend for the second consecutive day by 1.43% day-on-day to RMB 759.50 per tonne on Wednesday. …
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