Spot iron ore prices dip as production curbs weaken demand

Published: Oct 22, 2019 17:51

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Pilbara fines were traded 10 yuan/mt lower than a day before, at 680 yuan/mt in Tangshan

SHANGHAI, Oct 22 (SMM) – Spot iron ore prices across Chinese markets eased moderately on Tuesday, as steelmakers, faced with production curbs to combat smog, held back from purchasing raw materials.

The most active iron ore contract on the Dalian Commodity Exchange for January delivery hovered in a wide range during the day and strengthened 0.82% to 616 yuan/mt.

In the top steelmaking hub of Tangshan, in north China’s Hebei province, Pilbara fines were traded 10 yuan/mt lower than a day before, at 680 yuan/mt. Tangshan authorities have lifted restrictions on trucks entering or leaving ports, but curbs on steel mills still persist.

Iron ore sellers in east China’s Shandong province received limited inquiries from steelmakers, as various cities of Shandong have issued an orange smog-alert and imposed production curbs on steel mills.

Market commentary Iron ore

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