The market of Indian iron ore export to China remained subdued with Chinese steel mills exercising caution despite recovery in domestic steel price levels.
Although some deals for 63.5/63 grade iron ore were reported at USD 153.5 CFR China, the general levels of offers from Indian traders on the weekend were reported to be in the range of USD 148 per tonne to USD 149 per tonne CFR China.
It seems that the news of likely reduction of Q4 prices by Big 3 as well as increased availability of iron ore from India post monsoon suppressed the sentiments among Chinese steel mills, which are already saddled with a host of problems including government clamp, power cuts as well as huge inventories.
Although, the way forward is difficult to guess, some market players fee that the prices of Indian iron ore will remain under pressure in coming week and we may see further slide.