The iron ore market is beginning to exhibit some signs of modest unease, with 3mth forwards giving up significant ground while spot has moved about 5% lower.
From an export profitability perspective, falls in the Australian dollar and Brazilian real have more than covered the US dollar spot decline. Even so, to Phat Dragon’s eye a cyclical correction in the ferrous metals sphere appears to be underway and price expectations should be ratcheting downwards.

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