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Iron ore prices flicker before extinguishing- 19 Jun 11

It was Good Friday for iron ore market with an unexpected rise in TSI and Platts by USD 1.2 and USD 0.75.
Confirmed transactions at USD 183 per tonne for Fe 63.5/63 Indian ore were reported. It created a flutter briefly with traders finding it difficult to swallow.
Regardless of such odd happenings which can be termed as the easing of aberrations the trend seems to be pessimistic as the finished prices keep shedding in the domestic market. Moreover with the power rationing already in place mills are shying from further buying.

With the iron ore stockpiles hovering at a whopping 93.43 million tonnes any further buying seem illogical in this setting. 
It is expected that regardless of the occasional blips correction will set in soon.

( Source: www.steelguru.com )

Jun 19, 2011 08:51
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