Prices buoyant on strong steel prices, margins

摘要

Seaborne iron ore prices almost reached $130/mt CFR China again in November, supported by high domestic steel prices and margins. There could be some pushback on demand from late November due to cold weather curbing construction activity in northern China, but other sectors, including manufacturing, have rebounded strongly in recent months. Market sources expect continuous restocking from mills to support near-term prices. Environmental control measures in Tangshan and Handan in Hebei province were lifted due to improved air quality, but the restrictions had little impact on steel output in any case, as they were less stringently enforced and monitored this year compared to previous years.