indian ore prices set to rise, page-2

AND SOME MORE GOOD NEWS
Indian iron ore spot prices shakes stupor and picks up by 3pct
Wednesday, 21 Oct 2009
The Indian iron ore spot prices showed an improvement of 3% after a month. Since the last price correction on 24th September price improved by USD 2 per tonne on week opening on October 20th 2009.

Iron ore fines
Grade Change

Fe 63.5/63% 3%
Fe 63.5/62.5% 1%
Fe 63 / 62 % 2%
Fe 62 / 61% 2%
Fe 61 / 60 % 2%
Fe 60 / 59 % 2%
Fe 59 / 58 % 4%
Fe 58 / 57% 4%


Change is on October 20th 2009 as compared to October 16th 2009
In USD per tonne
Delivery FOB Indian Port

The prime reason for this ruffle has been improvement in Chinese domestic steel prices since 16th October after an unbroken streak of decline for the last 75 days.

Rain hit mining operations and logistics along with loading delays had tightened supply of Indian iron ore to China thus supporting prices.

It was just when operators had given up and expecting for the worst some light is visible now.

The irony of China expected to add a whopping 120 million tonne of capacity in 2009, iron ore imports have been setting new records MoM touching a record 65 million tonne in September.

The sentiments are expected to remain buoyant for the time being as Chinese steel prices firm up.

FROM THE SteelGuru