Latest News

Iron ore rebounds on Beijing stock support, US tariff issues cap gains

Iron ore futures edged higher on Thursday, as fresh efforts by leading customer China to support its equity markets improved financier belief and outweighed concerns of greater U.S. tariffs on Chinese imports.

The most-traded May iron ore contract on China's Dalian Commodity Exchange (DCE) closed 0.44% greater at 801.5 yuan ($ 110.04) a metric heap.

The benchmark February iron ore on the Singapore Exchange ticked up 0.38% to $103.95 a lot by 0704 GMT.

Chinese stocks climbed up after Beijing unveiled strategies to motivate insurance companies to purchase shares listed on the mainland, improving market belief.

Beijing's coordinated relocations highlighted the country's intent to prop up markets, with the statement coming right after U.S. President Donald Trump's danger of a 10% tariff on Chinese imports.

Since taking workplace, Trump has yet to make a final decision on tariffs versus China, stoking uncertainty, and steel costs are still generally range-bound, Chinese consultancy Galaxy Futures said in a note.

China's economic challenges continue to weigh on iron ore, while a trade war presents the greatest challenge to the market, stated ANZ experts.

Current policy procedures need to support the sector in the short-term, but structural problems will weigh on demand in the medium and long term, the experts stated.

On the supply-side, Australia's Fortescue posted a. marginal increase in its second-quarter iron ore shipments.

Fortescue, the world's 4th largest iron ore miner, said. its output was affected by a significant shutdown in centers at its. Iron Bridge project. The task is expected to produce at full. capability later this year.

Other steelmaking active ingredients on the DCE traded mixed, with. coking coal down 0.79% and coke up 0.14%.

Most steel standards on the Shanghai Futures Exchange increased. Both rebar and wire rod got nearly 0.6%,. hot-rolled coil ticked up 0.46%, while stainless steel. dipped 0.76%.

(source: Reuters)