Iron Ore Probably Peaked in 2Q, Say UBS’s Gordon

The video discusses the impact of Valley's capacity restart on the iron ore market, leading to a 3% drop. It explores the outlook for iron ore prices, noting production disappointments from major producers like Rio, BHP, and Valley. China's steel production has exceeded expectations, growing at an annualized rate of 3-4%. Despite this, steel inventories in China are rising counter-seasonally. Valley is mobilizing to export more iron ore in the fourth quarter, which may ease market tightness and lead to prices dropping below $100 per ton.

What factors contributed to the recent changes in iron ore prices?

How has steel production in China changed compared to initial expectations?

What production growth rate for steel in China is mentioned in the text?

What role does Valley play in the iron ore market according to the text?

What is the outlook for iron ore prices as we approach the fourth quarter?