Iron Ore and Steel Market Updates
– Jun 8 -14th Australia and Brazil iron ore delivery at 25.14 million tonnes, down 4.16 million tonnes w-o-w. Australia delivery at 18.41 million tonnes, down 3.27 million tonnes. Brazil delivery 6.73 million tonnes, down 885,000 tonnes.
– MySteel surveyed Australia and Brazil iron ore port overhaul(Jun 15 – 21st), estimated impact 77,000 and 93,000 tonnes respectively. Last overhaul impact was 1.58 million tonnes and 1.54 million tonnes respectively.
– PBF morning offer down 5 yuan at 790 yuan.
– South-western construction steels production 2.09 million tonnes, down 0.88% w-o-w. Mills inventory 2.21 million tonnes, up 10.24% w-o-w. Circulation inventory 3.73 million tonnes, down 1.85% w-o-w.
China New Covid-19 cases and Coke Price
– Beijing increased alert to level II and fights infection cluster in ‘wartime mode’. Beijing yesterday increased 31 cases.
– China Shandong and Shanxi area coke price up 50 yuan. Physical coke price up 6 rounds totaled 300 yuan.
SGX Iron Ore 62% Futures& Options Open Interest(Jun 16th)
– Futures 70,672,600 tonnes(increase 758,600 tonnes)
– Options 112,731,600 tonnes(increase 1,426,000 tonnes)
Verdict
– Short-term neutral to bearish.