Iron Ore Prices Slump Following Tightening Regulatory Supervision And Futures Trading Constraints

Published: Nov 16, 2023 11:40

Source: SMM

Save

Iron ore futures prices slumped 2.91% overnight and extended its rout into today’s morning session, losing 3.11% as of CST 9:31 on November 16.

Iron ore futures prices slumped 2.91% overnight and extended its rout into today’s morning session, losing 3.11% as of CST 9:31 on November 16. The decline came after the National Development and Reform Commission said last night that it will send officials to the Dalian Commodity Exchange (DCE) to jointly study on how to enhance supervision on the iron ore market in response to recent irrational price spike. Meanwhile, the DCE also issued a risk management measure last night, stipulating that starting from the trading time on November 17, 2023 (that is, the night trading session on November 16), non-futures company members or customers are not allowed to open more than 500 lots of positions on the iron ore futures I2401, I2402, I2403, I2404 and I2405 contracts in a single day, and the number of newly opened positions in other iron ore futures contracts shall not exceed 2,000 lots in a single day. Moreover, starting from the settlement on November 20, 2023, the margin level for speculative trading of iron ore futures contracts will be adjusted from 13% to 15%.

Market review

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM‘s internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or to learn more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

May 15, 2026 18:21

[SMM Hot Topic] Rebar Base Price "Exists in Name Only," Pricing System Has Completely Changed

SMM has been deeply engaged in the metal industry for decades, consistently upholding the principles of objectivity, neutrality, pragmatism, and rigor. By adhering to actual market transactions as the core pricing benchmark and leveraging its well-established price assessment methodology and comprehensive data system, SMM continues to deliver standardized market benchmarks for participants across the industry chain. This provides solid support for industry pricing standards, transaction settlements, and business decision-making, serving as a long-term partner in the steady development of the metal industry.

May 15, 2026 18:21

May 15, 2026 18:11

5.15 SMM Global Steel Daily Report

[Turkey] Recently, Turkish long steel giant Kardemir launched a new round of billet sales. By slightly lowering its list prices, the company rapidly attracted a large volume of domestic orders and subsequently closed the sale. The company offered S235JR grade billets at 530 USD/tonne (EXW), a decrease of 5 USD/tonne from the previous round, while B420 grade billets were priced at 540 USD/tonne (EXW), down by 10 USD/tonne.

May 15, 2026 18:11

May 15, 2026 18:07

Ferrous Metals Maintain Fluctuating Trend in the Short Term [SMM Steel Industry Chain Weekly Report]

This week, ferrous metals rose and then pulled back, moving sideways overall, with coking coal and coke experiencing a more notable pullback. In the first half of the week, market rumors suggested that a thermal coal supply assurance meeting would be held on Friday, which, combined with the sharp pullback on the raw material side driven by industrial capital fleeing, led to an overall pullback in ferrous metals. In the second half of the week, Trump's visit to China and trade negotiations proceeded simultaneously, but futures had already priced this in earlier, with no significant fluctuations. When the five major steel product data were released, supply showed some divergence, demand generally increased, and inventory destocking was strong. Spot market side, spot prices were held relatively firm, market transactions were mostly at low prices, and when the spot-futures price spread widened, basis traders were seen making shipments...

May 15, 2026 18:07