Daily Virtual Steel Mill Report 05/03/24

Verdict: • Short-run Neutral.   Macro: • Fed governor Rafeal Bostic said that inflation is expected to “slowly” return to the 2% target. Thus it would be appropriate for the Fed to cut interest rates twice by 25 basis points before the end of this year. • China government work report indicated the GDP growth …

Daily Virtual Steel Mill Report 04/03/24

Verdict: • Short-run Neutral.   Macro: • Several OPEC+ countries extend output cuts through Q2, as Russia announces new reductions.   Iron Ore Key Indicators: • Platts62 $115.40, -1.70, MTD $115.40. There were some seaborne trade during late half of last week after the two extreme quiet weeks after Chinese New Year. The market was …

Daily Virtual Steel Mill Report 01/03/24

Verdict: • Short-run Neutral.   Macro: • According to China National Bureau of Statistics, China produced 1.019 billion tons of crude steels in 2023, unchanged from 2022. China produced 1.36 billion tons of finished steels, up 5.2% on the year. China produced 4.71 billion tons of coals, up 3.0% on the year. • One of …

Daily Virtual Steel Mill Report 29/02/24

Verdict: • Short-run Neutral.   Macro: • According to Bloomberg news, BHP Group Ltd., the world’s biggest miner, has embarked on a major restructure of its global business, affecting units from mine-planning to decarbonization and heritage protection.   Iron Ore Key Indicators: • Platts62 $116.90, -1.30, MTD $125.27. The virtual steel margin recovered from 30 …

Daily Virtual Steel Mill Report 27/02/24

Verdict: • Short-run Neutral to Bearish.   Macro: • ECB banker Christian Lagarde indicated that the 2% inflation target must be realised. ECB governor indicated the first interest cut would start in June. • Reuters: India is considering an export tax on low-grade iron ore after small steel producers urged the government to curb its …

Daily Virtual Steel Mill Report 26/02/24

Verdict: • Short-run Neutral to Bearish.   Macro: • NAR statistic indicated that the sales of existing homes increased by 3.1% in January, which created the highest level since August 2023. S&P Global statistic indicated that the US February PMI dropped from 52.0 to 51.4. • IMF indicated that Japan economy could soften in 2024, …

Daily Virtual Steel Mill Report 23/02/24

Verdict: • Short-run Neutral to Bearish.   Macro: • US jobless claims at 201,000, est. 216,000, last 212,000. • US Federal Reserve Patrick Harker stated that there should be no urgency to cut interest rates. The Fed’s focus is on the job market and economic data for the coming months, which will determine when the …

Daily Virtual Steel Mill Report 22/02/24

Verdict: • Short-run Neutral to Bearish.   Macro: • According to data from the China Association of Automobile Manufacturers, in January, the production and sales of commercial vehicles reached 327,000 and 324,000 respectively, a decrease of 10.7% and 11.1% month on month, and a year-on-year increase of 66.2% and 79.6%, respectively.   Iron Ore Key …