Verdict:
• Short-run Neutral.
Macro:
• World Bank increased global GDP growth target in 2024 from 2.4% to 2.6%. China growth rate was increased from 4.5% to 4.8%. US growth target was increased from 1.6% to 2.5%.
Iron Ore Key Indicators:
• Platts62 $103.80, -4.70, MTD $107.64. The general weak performance of metals sector dragged down iron ore price. However, physical traders started to bottom hunting yesterday, eyeing two laycans of NHGF and one MACF trade with fixed price. Obviously, physical traders believed a stablisation for iron ore market in short-run.
SGX Iron Ore 62% Futures& Options Open Interest (Jun 11th)
• Futures 114,696,600 tons(Increase 1,006,600 tons)
• Options 161,239,700 tons(Increase 710,700 tons)
Steel Key Indicators:
• China Yong Steel ex-work rebar price delivered in mid-June at 3750 yuan/ton, down 100 yuan/ton. Shagang Group ex-work rebar price unchanged at 4070 yuan/ton delivered in mid-June.
Coal Indicators:
• After the first round of price cut by 100-110 yuan/ton for China physical coke price, local mills started the second round of price cut by 50 – 55 yuan/ton. However, cokery plants refuse to provide any room on offers.
