Raw material market week in review

Last week, most varieties of raw material market prices shocked up. Due to the rapid rise in iron ore and coke prices, steel mill profits were compressed, and the northern steel mills by the epidemic and the impact of the Winter Olympics, there will be a reduction in demand, there is a certain pressure on the raw fuel market. Imported iron ore prices rose and fell; coke prices rose mainly; coking coal prices continued to rise; ferroalloy market overall strong operation. Price movements of the main varieties during the period were as follows.

　　Imported iron ore prices rose and fell

　　Last week, the price of imported iron ore fell back to a high level. Brazil rainstorm led to mine shipments were affected, market expectations rose, but the actual impact was not significant. Iron ore prices rose to above US$130 per tonne and buyers tended to wait and see, with prices falling in the second half of the week. Due to the rapid rise in raw material costs of steel mills, steel mills began to lose money, and the iron ore market will be under pressure after the centralized replenishment of steel mills before the Spring Festival is basically over. Affected by the Winter Olympics and the local epidemic, the northern steel mills will reduce their purchases later, and it is expected that the price of imported iron ore will be adjusted back slightly in the near future.

　　Domestic metallurgical coke prices rose mainly

　　Last week, domestic metallurgical coke prices rose mainly. East China, North China, Northeast and South Central regions with the market adjustment of coke enterprises metallurgical coke prices up two rounds; Henan, Anhui, Jiangxi and other regions independent pricing of monthly pricing on behalf of coke enterprises metallurgical coke prices stable; Southwest metallurgical coke prices stable in the rise. Steel mills blast furnaces to resume production increased, demand increased, but some regions serious epidemic, coke enterprises production, transport restrictions, steel mills increase library effect is not good, overlaid with coking coal prices, coke enterprises cost increase, last week the implementation of metallurgical coke price increase faster. At present, steel mill profits compressed significantly, and some steel mills later limited production is expected, metallurgical coke price increases will be inhibited. It is expected that the fourth round of metallurgical coke price increases in the near future will be landed one after another, the late metallurgical coke prices increased difficulty.