Iron Ore: Bullish momentum intact – OCBC
|Steel prices in China continue rising as parity prices for iron ore are now estimated at $85/mt-$95/mt, per OCBC Bank.
Key quotes
“Iron ore inventories in China are now lower than last July’s low, when prices easily traded over $100/mt.”
“Steel inventories continue declining and we estimate it is expected to enter its 10-year range in the next 2- 3 weeks.”
“The market has firm fundamentals supporting its ascent and if the supply tightness continues, we might see iron ore making a run for $100/mt again.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.