Analysis of the reasons for stable trading of iron ore spot trading platform in half a year

Since the Chinese iron ore spot trading platform has been operating for six months, it has initially demonstrated its function of finding prices and stabilizing prices. This platform started 42 transactions from May 8 to October 20, with a cumulative turnover of 660 million yuan. USD, *** turnover of 21.6 million ***.

Dong Chaobin, president of the North Mining Institute, said that since the operation of the Chinese ore spot trading platform, transaction volume and declaration volume have basically met everyone's expectations for the initial operation of the platform. With regard to the recent phenomenon of zero transactions that people are more concerned about recently, he explained that buyers and sellers have entered the down channel environment under the current framework. As for the market's expected decline, they are waiting to see such a result. It is also the entire iron ore market. A reflection of inactive transactions.

On the one hand, the macroeconomic situation and the structural adjustment of the steel industry have brought iron ore prices into the down channel. Affected by such an environment, buyers and sellers are expecting lower market expectations, and the wait-and-see atmosphere is very strong, which will affect the transaction.

On the other hand, the pressure on the international market and the domestic economy has been increasing since the beginning of this year. Domestic iron ore consumption is growing at a low rate. Under the condition of capacity expansion, the production of iron ore is growing faster, and the structural adjustment of the industry makes The prosperity of the entire steel industry has fallen sharply. In August of this year, the price of iron ore fell below 90 US dollars per ton and fell to the lowest level in three years. Afterwards, with the centralized approval of domestic electromechanical projects and the Fed launching QE3, the price of iron ore slowly picked up.

However, the macroeconomic recovery needs a process, and there is still some variation in the recovery of the steel market. It is expected that the price of iron ore will not fluctuate sharply in the short term. The number of single transactions is still relatively large, and the total amount of transactions is also relatively high. There are 28 of them. Each transaction volume exceeds 100,000 tons, of which 17 transactions exceed 16 million tons.