· Metals: Copper -0.9% to $4.48lb, iron ore -7.44% to...

· Metals: Copper -0.9% to $4.48lb, iron ore -7.44% to US$180.50/t

· Energy: Brent crude +0.4% to US$75.4/bbl, WTI +0.4% to US$74.0/ bbl, Asia LNG flat at US$15.7/mmBtu

· Keyovernight stock moves: BHP LND -1.9%, Rio Tinto LND -2.9%, S32 (LDN) -0.6%, AAL -3.1%, GLEN -1.8%, Vale -8.1%, AA +2.0%, Shell -1.1%, BP -2.2%, XOM -2.3%, Chevron -0.7%, COP -1.8%

· GlobalIndices: S&P 500 -0.54%, DOW -0.42% & FTSE -0.65%

Seaborne iron ore prices marked a single-day drop of$14.50/dmt to a 2.5 month low, amid a buyer’s marketwith the 62% Fe Iron Ore Index at $180.50/ dry mtCFR North China on July 30, down $14.50/dmt fromJuly 29, the lowest since April 16 this year. Seaborne spot iron ore market was paralysed by the steep drop in iron ore derivatives as buyers and sellers stepped away to wait for market direction. Market sentiment turned for the worse on July 30, with persistent weakness in buying interest through the week. “It is a buyer’s market now,” said an international trader source. Sellers were heard dropping their premium offers for medium grade fines cargoes repeatedly to attract buying interests. Despite a slight improvement in the demand for low grade fines for cost management purposes, the large variety of low grade alternatives kept prices under pressure. Australian iron ore miner Fortescue Metals Group widened the discount for its low-grade products further for August shipment under term contracts, market sources said. (Platts)

Fortescue Metals Grouphas cut monthly discount levels, basis the August average of the Platts 62% Fe index, or IODEX, for August shipments of itsiron ore products under term contracts, contract customers said. Discounts basis the IODEX for Super Special Fines (SSF), Fortescue Blend Fines and West Pilbara Fines widened from 22.5%, 10.5% and 0.25% in July to 27%, 19% and 5%, respectively, in August. “They are probably priced to encourage mills’ take-up rates,” said another Chinese end-user source. FMG recorded its highest quarterly shipments in the second quarter at 49.3 million mt, thanks to strong performances across the supply chain and the ramp-up of the Eliwana mine. FMG’s total shipments for the Australian financial year 2021 ending June totalled 182.2 million mt, also a new record. Shipments in the current financial year are expected to remain strong at 180 million-185 million mt, according to FMG’s latest guidance. (Platts)

Rich lister Chris Ellisonwill spend at least $200 million bolstering his plan to build a major new ironore province in Western Australia, under an acquisition lobbed on Friday night. Ellison’s company Mineral Resources has agreed to pay $200 million up front for a 40 per cent stake in a large package of undeveloped iron ore tenements in the West Pilbara. (AFR)

Rich lister Chris Ellison’sMineral Resources says border closures and lockdowns are making it harder toget iron ore to port in Western Australia at a time of sky high prices for thesteel-making ingredient.Mr Ellison has been one of the loudest voices urging the Morrison government to let the private sector step up and run COVID-19 vaccination programs. (AFR)

Iron ore prices have dived to their lowest levels inmore two months amid fear of waning demand from Chinese steel producers as theworld’s biggest consumer takes steps to curb pollution. Singapore futures fell 8.8 per cent to $US173.80 a tonne and Dalian futures dived 9.4 per cent on Friday after spot iron ore fell to $US194 on Thursday, down 17 per cent from a record high of $US233 a tonne in May. The abrupt falls pushed Fortescue Metals down 5.3 per cent to $24.91 on Friday, while Rio Tinto closed down 0.6 per cent at $133.42. BHP finished up 0.3 per cent at $53.59. Analysts said the price of Australia’s biggest export was reacting to expectations of weaker demand caused by Beijing’s policies to reduce China’s steel output as a means to cut emissions. (The Australian)