A total of 750,000 mt of iron ores was traded for the week ended Sep 24, up 10.3% on-week, amid better restocking activities.
Restocking of iron ore stepped up pace as Chinese trade participants returned from public holidays, while they started to replenish stocks to prepare for another week-long holiday period in early October.
During the week, the trades volume of JMBF accounted the largest market share at 28%, then followed by BRBF at 22%, and Carajas fines at 22% too.
More restocking activities for holidays preparation
Restocking activities took up pace as the Chinese trade participants prepared for the upcoming Golden week holidays in early October.
Some end-users were trying to replenish stocks, while some were more cautious with limited purchases due to the ongoing steel production cuts.
Meanwhile, some trade sources stated slower trading activities in Chinese ports, especially in the northern Chinese ports due to supply tightness. However, there was some easing to tight supply, as some vessels bounded for eastern China ports were being diverted to the northern ports.
Mixed outlooks for lump premiums
Lump premium remained stable, though some trade participants expected some downside to lump premiums amid the ongoing steel output cuts.
However, some trade participants believed that the lack of Indian pellet supply might provide some supports to lump premiums.
Moreover, they also expected lump demand to improve in view of stricter pollution control as Beijing prepared for winter Olympic early next year.
