Funds reduced their positions for risk aversion due to news impact, and iron ore prices jumped initially and then pulled back [SMM Comment]

Today, Dalian iron ore futures jumped initially and then pulled back, with the most-traded contract I2509 closing at 785, up 0.38% for the day. Traders were highly motivated to sell. Steel mills purchased as needed, and with the weekend approaching, inquiry volumes slightly declined. The market transaction atmosphere was moderate. The mainstream transaction prices of PB fines in the Shandong region were around 765 yuan/mt, unchanged from yesterday's prices; in the Tangshan region, the transaction prices of PB fines were around 775-780 yuan/mt, also unchanged from yesterday's prices.
Today, iron ore futures prices jumped initially and then pulled back, mainly due to the reduction of long positions influenced by news. In the short term, the fundamentals of iron ore still provide strong support. Coupled with the approaching Political Bureau meeting, the market remains moderately optimistic about the introduction of favorable policies at the meeting. It is expected that ore prices will continue to hold up well next week, but the upside potential may be relatively limited.