Intermodal Weekly Market Report, Tuesday 25th April 2017, Week 16

Market insight
By Christopher Whitty
Commercial Manager – Towage Division
Cotzias Intermodal Shipping Inc
Iron ore prices have been on a rollercoaster ride over the last month. Prices started the year on a very positive note, surging up to their highest price level since mid-2014. The commodity, which hit $94.86 in February, averaged $86 in the first three months. It is still a volatile market this year but the potential restart of idled Chinese iron ore capacity will cause the most uncertainty for prices in 2017 and is likely to add to general volatility for the rest of year.

It looks like we already witnessed a certain correction in prices since the commodity has been steadily falling since mid-April, to a near six-month low, primarily on the back of concerns based on fresh signs of a supply glut and ramped-up domestic production in China. Spot ore with 62 percent content in Qingdao fell 2.5 percent to $66.53 a dry ton on Monday following a volatile last week.

Whole weekly report you can download here