UMETAL-CHINA, The stabilization continues today as the steel side has yet to show any signal to release. Considering the risks of demand on the steel side, the traders dare not to rush the quotes up despite they continue holding bullish preview. The Australian PB fines (Fe61.5%) are offered at US$141-143/dmt and Indian fines (Fe63.5%) at US$146-149/dmt. BHP invites bid for two cargos yesterday with Yandi fines at US$130/tonne and MAC fines at US$142.2/tonne, leveling off the mainstream quotes and indicating the suppliers are also concerning for the steelmakers' activity.

In terms of the physical trades done at ports, although the price is relatively strong, the quantity is small, reflecting continued cautious sentiments in the market. For example, SSF (Fe56.3%) was still bought at RMB860/tonne (spot cargo, VAT included, wet basis), but the contracted quantity was only 10,000 tonnes.

(US$ 1=RMB 6.3102; Editing by Mike Lei)