Core Insights - The iron ore market is currently facing a situation of strong supply and weak demand, with short-term trends dependent on policy stimuli and production cuts from steel mills [1] Supply Side - Australia shipped 14.149 million tons of iron ore to China this week, a decrease of 454,000 tons week-on-week - Brazil's shipments to China were 7.269 million tons, down by 220,000 tons week-on-week - Overall shipment volumes have slightly declined [1] Demand Side - The capacity utilization rate of 163 steel mills is at 90.33%, a decrease of 0.24% week-on-week - Daily pig iron production is 2.4095 million tons, down by 5,900 tons week-on-week - Demand remains relatively stable [1] Inventory Levels - Imported iron ore port inventory stands at 135.6 million tons, an increase of 2.5077 million tons week-on-week - The average daily throughput at 45 ports is 3.27 million tons, a decrease of 112,800 tons week-on-week - Total inventory at steel mills is 89.827 million tons, down by 634,600 tons week-on-week, indicating a slight overall increase in inventory [1] Market Dynamics - Iron ore futures have been on a downward trend, primarily due to the shift in fundamentals towards strong supply and weak demand - Global major mining shipments are at seasonal highs, leading to ample port arrivals and inventory accumulation, which exerts price pressure [1] Steel Industry Challenges - The downstream steel industry is facing difficulties, with steel mill profits being squeezed and operating near breakeven - Some steel mills are planning maintenance and production cuts, leading to a decline in daily consumption and cautious procurement, which weakens demand support [1] Macro Environment - The overall market sentiment is bearish, influenced by changes in China-U.S. trade relations, raising concerns about global growth and commodity demand, which casts a shadow over iron ore prices [1] Short-term Outlook - The iron ore market is under pressure from three main factors: ample supply, weakening demand, and insufficient macro confidence - Short-term trends will depend on stimulus policies and production cuts from steel mills - Iron ore main contract 01 has recently seen a slight decline, with a short-term reference range of 750 to 800, indicating high volatility and the need for risk management [1]