Key drivers
Prices for iron ore concentrate surged on strong demand and gains recorded for 65% Fe iron ore swaps, sources said.
A trading source in Singapore said that cargoes of iron ore concentrate, which are typically priced against 65% Fe indices, were mostly flipping from carrying discounts to premiums.
Demand for high-grade iron ore is high now while supply is limited, which push up prices further, he added.
A buyer source in southern China concurred, saying restrictions to lower emission in the Tangshan region - the country’s steelmaking hub - boosted demand for concentrate, which is advantageous in that it has a high Fe content and low impurities.