Divergence emerges between seaborne and portside lump premiums

A significant divergence emerged between seaborne and portside lump premiums. Mysteel's PORTDEX 62.5% Lump Premium decreased by 1.14% to Yuan 1.525/dmtu, while the Mysteel SEADEX 62.5% Lump Premium rose by 3.21% to $0.162/dmtu between July 17 and July 24. The seaborne lump premium reached its highest level so far this year, driven by a broader rebound in the seaborne market amid improving sentiment.

The decline in the portside lump premium was mainly attributed to weak fundamentals and constrained demand. Lump demand remained subdued under the current moderate VIU, particularly following the second round of coke price increases. As a result, total lump inventories at China's 47 ports increased by 2.51% to 17.04