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Dalian exchange adds new iron ore deliverable brands, adjusts premiums and discounts

Published 28/01/2021, 01:14 pm
© Reuters.
TIOc1
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SHANGHAI, Jan 28 (Reuters) - China's Dalian Commodity Exchange said on Thursday it had added new deliverable brands for its benchmark iron ore futures, while adjusting premiums and discounts for existing deliverable brands.

The newly added deliverable brands include Benxi Steel Concentrate, IOC6, Kumba and Agglomerate Concentrate, the exchange said in a statement late Wednesday night, adding that their premiums and discounts were set at 0 yuan per tonne, -20 yuan ($3.09) per tonne, 10 yuan per tonne and 65 yuan per tonne, respectively.

The new deliverable brands and the adjusted premiums and discounts will be applied to the February 2022 futures contract and subsequent contracts.

The Dalian exchange in December had proposed regularly adjusting premiums and discounts for iron ore futures and adding deliverable brands following complaints from steel producers that speculators fuelled market rallies. most traded iron ore futures contract DCIOcv1 surged 54% in 2020 and has mostly been hovering above 1,000 yuan a tonne in 2021.

Brands

Premiums and

discounts(yuan per

tonne) HBIS Mining Concentrates

0 Ansteel Mining Concentrates

0 Benxi Steel Mining Concentrate

0 Karara Standard Magnetite Concentrate

45 Pilbara Blend Fines

0 Newman High Grade Fine Ore

0 Mac Fine Ore

-30 Jimblebar Blend Fine Ore

-35 ROY-F

-30 Brazilian Blend Fines

20 Yandi Fine Ore

-20 Fortescue Blend Fines

-70 Super Special Fine

-80 Iron Ore Fines-IOC6

-20 Kumba Standard Fine Ore

10 Carajas Iron Ore

90 Agglomerate Iron Ore Concentrate

65

* Applicable to the February 2022 futures contract and subsequent contracts

($1 = 6.4822 Chinese yuan renminbi)

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