The price of the Brazilian high-gradeiron ore, 65 percent iron contents, is $138/mt today, against $134/mt on June 20, CFR China conditions.
According to sources, the increase reflects highertradingin paper markets in the Dalian Commodity Exchange, with seaborneiron orevolumes following futures and forward month swaps.
Conversely, the price of blast furnaces grade pellets decreased to $162/mt from $174/mt previously, reflecting a reduced premium ascribed to the product, in relation to the equivalent sinter feed fines.
In the Brazilian domestic market, the prices are now estimated at $105/mt for theiron oreand $130/mt for the pellets, against respectively $98/mt and $138/mt previously, ex-works, no taxes included, with prices reflecting also reduced ocean freight rates, as domestic prices ofiron oreinBrazilare based on the equivalent FOB quotations.
The premium of the high-grade ore, in relation to the 62 percent Australianiron ore, is now 9.4 percent from 13.7 percent previously, reflecting a reduced demand for high-grade products, such as with pellets, although maintaining a high figure in historical terms.
Preliminary figures remain pointing to an increase in June from the combinediron oreand pellets exports fromBrazilin May, when the country exported 23.37 million mt ofiron ore(pellets excluded) and 2.15 million mt of pellets.