Price decline unlikely till April

摘要

Following trends in China, iron ore prices in Russia kept surging (by an average of 15% under long-term contracts and by 18% in the spot mar?ket) in January, with stronger demand in the key export destinations also adding to the upturn.In late January iron ore quotes in China hit $83/t CFR, the highest level since September 2014. Quotes rose that much due to speculations in the futures market, not fundamental factors. After Chinese New Year holidays most market participants are to test the market with more price increases, expecting trading activity to traditionally rise. However, they will not be able to do this as the market remains oversupplied, and there are no prospects for consumption to go up. Iron ore prices will be declin?ing throughout March and April, Metal Expert forecasts.