Iron ore price goes parabolic after cyclone warning

Iron ore prices shot higher again on Thursday – the twelfth straight day of gains – after authorities at the world’s largest iron ore export terminal issued a cyclone warning, exacerbating an already tight market.

According to Fastmarkets MB, benchmark 62% Fe fines imported into Northern China were changing hands for $156.58 a tonne on Thursday, up 4.3% from Wednesday’s peg while 65% grades from Brazil surged to over $170 a tonne. 

That was the highest level for the steelmaking raw material since February 2013 and brings gains for 2020 to 70%.

The frenzy for ore was also evident on Asian futures markets with contracts in Singapore and on the Dalian exchange in China hitting record highs.