As Spring Festival is approaching, China's iron ore inventory increased to around 108.1 million tons, which have risen for two weeks in a row.

Due to the expectations of steel mills' production resumption and stock replenishment, the recent prices of iron ore have kept strong.

Coking coal has been stored since December. Although affected by coal mine accidents in Shanxi and other factors, the inventory could still accumulate to more than 32 million tons in five weeks as of the festival.

In terms of coke, steel mills' demand for replenishment is limited this year. The stock replenishment before the Spring Festival depends on the profit change of coke.

At present, steel mills are likely to resume their production to improve the demand for coking coal and coke. The prices will be subject to the supply side.