SteelMint: India iron ore export index drops $18/t as Chinese futures plunge

SteelMint's weekly index for India's low-grade iron ore fines (Fe 57%) exports stood at $42/t FOB east coast, lower by $18/t w-o-w. The market has turned silent with no deals being heard, after futures prices in China dropped sharply.

Price indicators:

• No confirmed deal was reported in the current publishing window and hence given 0% weightage under T1 trade. Click here for methodology.
  
  
• SteelMint received six (06) indicative prices, bids and offers during the current publishing window of which three (03) were considered for price calculation as T2 inputs and given 100% weightage.
  
  

Market highlights -

• Spot prices drop by $15 w-o-w - The spot price of benchmark iron ore (Fe 62%) fines decreased w-o-w to $130.65/t CFR China on 17 Feb against $146.75/t a week ago. Seaborne iron ore prices plunged as the looming policy uncertainty in China turned buyers cautious.
  
  
• DCE futures plunge as NDRC holds meetings on price speculation - Iron ore futures contracts on the Dalian Commodity Exchange (DCE) dropped further on Thursday as bearish market sentiment prevailed in response to the National Development and Reform Commission (NDRC) holding another meeting with iron ore traders today. NDRC discussed measures to crack down on speculation to control soaring prices.
  
  
• Futures drop by $22/t w-o-w - DCE iron ore futures' May contract closed at RMB 684.5/t ($108/t) on 17 Feb, down RMB 137.5/t ($22/t) against last week.
  
  
• Port inventories in China increase - Iron ore inventory at major Chinese ports increased to 156.35 mnt on 10 Feb compared to 155.4 mnt last week, as per SteelHome data.
  
  

There are absolutely no bids, amidst falling global prices and a majority of participants are in wait and watch mode.