Asia steel complex hinges on late-January sentiment, price bottom "possible"

The next major change in price direction may happen in the second half of January when market conditions become clearer, after the Lunar New Year and the Beijing Winter Olympics, sources told Fastmarkets in the week.

This is supported by gradually warming sentiment in Asia, led by developments in the key China market. But the current bout of iron ore buying and emerging interest from some buyers for ferrous scrap is not a definitive indication of a demand increase, especially with Asia about to embark on the Lunar New Year holidays soon, sources said.
Iron ore
Iron ore markets are already seeing early signs of a demand surge from Chinese traders and steelmakers.
Brazilian high-grade iron ore fines, or Iron Ore Carajas Fines (IOCJ) were sold at $156 per tonne cfr Qingdao on January 6, a surge of $11 per tonne from Fastmarkets' calculation of the iron ore 65% Fe Brazil-origin fines, cfr Qingdao index at $145 per tonne on January 5.
Price book

After nearly a month without sales to China; key market sources said there had very recently been an increase in...

Published

Lee Allen

Paul Lim

Alex Theo

Tianran Zhao

Zihuan Pan

January 06, 2022

11:33 GMT

Singapore, Shanghai, London