The state enterprise Ukrpromvneshexpertisa (UPE) believes iron ore raw materials prices in October (Australian Fe 62% ore CFR China) will drop below $50 per ton on the world market.
“We’re not yet sure how long it will last – a week, 2 or 3, but the prices will be below $50”, said the company analyst Dmitry Zheltyakov.
According to him, October-November will witness the decrease in demand on behalf of traders, who will try to sell their stocks by December. Metal manufacturers will also decrease their demand due to the drop in steel demand on the world markets.
Major world iron ore raw materials manufacturers continue to decrease prime cost and increase output.
UPE predicted that in September average iron ore raw materials prices would fall by 6.8% MoM, or by $4 per ton, to $55 per ton. (Ukrainian metal)