Iron-ore surged past $100/t as supply woes in Brazil coincide with sustained, robust demand in top steel producer China.
Benchmark spot prices climbed to $101.05 on Friday as Brazil, the world’s second-largest exporter, saw a surge in coronavirus infections, stoking worries that the pandemic may curb local supply.
In April, miner Vale cut its annual shipment guidance on bad weather and the virus’s impact on operations. Meanwhile, port stockpiles of iron-ore in China have continued to decline.
The industrial staple has prospered in 2020 even as the coronavirus pandemic hammered industrial activity in many economies, although Bloomberg Intelligence has been among observers warning that market may flip to a surplus in the second half. In addition to Vale, the higher prices will bolster returns at BHP Group, Rio Tinto Group and Fortescue Metals Group…Full Story