Lump premiums decrease slightly amid softer demand expectations

Lump premiums edged lower over the past week. Between August 28 and September 4, the Mysteel PORTDEX 62.5% Lump Premium decreased by 0.70% to Yuan 1.4765/dmtu, while the Mysteel SEADEX 62.5% Lump Premium decreased by 0.82% to $ 0.182/dmtu.

The decline was largely driven by weaker demand expectations, as restrictions on sintering machines were gradually lifted following the military parade. In addition, falling hot metal output and shrinking steelmaking margins weighed on lump premiums. However, the decline in portside inventories helped limit further losses, with total lump inventories