The price of Brazilian high-grade iron ore, 65 percent iron contents, stands today at $142/mt, CFR China, stable from January 12.
The relative stability, after significant declines last week, now reflects the return to operation of blast furnaces in China after stoppages for maintenance services, sources say, which points to a small increase in iron ore demand and oscillation of prices in the short term.
The export price of blast furnace grade pellets is now estimated at $157/mt, CFR China, against $160/mt previously, reflecting a reduced premium ascribed to the product in relation to the equivalent sinter feed fines.
The premium of the Brazilian high-grade ore, in relation to the Australian 62 percent iron ore, now stands at 4.3 percent, against 3.5 percent previously, reflecting increased interest by the integrated steel producers for the higher productivity of the premium ores.
In the Brazilian domestic market, the prices are estimated at $109/mt for the iron ore and $124/mt for the pellets, against respectively $111/mt and $129/mt previously, ex-works, no taxes included, in a decline reflecting higher sea freight rates, as the domestic price is based on FOB conditions, having CFR China as reference.