Market Verdict on Iron Ore：
• Neutral.
Macro：
• EIA predicted the WTI price reached $83.63/barrel in 2023, $77.84/barrel in 2024.
Iron Ore Key Indicators:
• Platts62 $122.90, +1.20, MTD $124.46. The BHP operation stoppage for 24 hours had limited impact on the production and shipment of iron ore. BHP sold JMBF at IODEX March Index and a discount of $4.9. The discount cargoes had widened even during the fixed price rally period, to compete with premium product. Thus, PBF and NHGF premium was stuck in narrow area during last two months. The bids suddenly emerged yesterday following the well improved import margin after index corrected for few days.
• Fortescue has signed a mining convention with the Gabon government that aims for first mining in the second half of 2023 at the 2mn t/yr early development stage of its Belinga project in the east of the country. Fortescue compares Belinga favourably to the up-to-150mn t/yr Simandou iron ore project in Guinea, which has been plagued by complex ownership structures and disagreements over infrastructure.
SGX Iron Ore 62% Futures& Options Open Interest (Feb 8th)
• Futures 101,595,400 tons(Increase 709,600 tons)
• Options 77,368,800 tons(Increase 772,800 tons)
Steel Key Indicators：
• Tangshan average billet cost 3010 yuan/ton, average loss 114 yuan/ton, up 62 yuan/ton.
Coal Indicators：
• The FOB Australia coking coal market started to see Indian end-users re-entering into the market. Indian market saw a tightness on supply in the current weeks.
• Australia PMV tradeable value ranged from $350-375/mt.
