Seaborne iron ore prices weakened on Tuesday as Chinese steel futures fell. The Kallanish KORE 62% Fe index lost $2.66/tonne to $114.11/dry metric tonne cfr Qingdao, while the KORE 65% Fe index declined $2.71/tonne to $129.55/dmt cfr. The KORE 58% Fe index was $2.44/tonne lower at $101.43/dmt cfr.
Market sources report that 80,000 tonnes of Mac Fines were booked at $109.1/tonne with a laycan of 12-21 June. Additionally, 90,000 tonnes of JMBF Fines were sold at a floating price with shipment on 15-24 June.
The decline in iron ore prices was driven by a drop in Chinese steel futures, reflecting the interconnected nature of the two markets. As steel prices in China fell, it exerted downward pressure on the demand and pricing for iron ore, a key raw material in steelmaking.
The weakening of seaborne iron ore prices across various grades, including the benchmark 62% Fe index, 65% Fe index, and 58% Fe index, signals a potential softening in market conditions for the steelmaking raw material, influenced by the dynamics in the Chinese steel market.
