Market risk aversion sentiment rises, iron ore prices in the doldrums [SMM Commentary]

[Daily Brief on Imported Ore]

Today, iron ore futures traded in the doldrums, with the most-traded contract I2509 closing at 802.5, down 1.11% for the day. Traders showed moderate willingness to sell. Steel mills restocked as needed. Market transaction sentiment remained tepid. In Shandong, mainstream transaction prices for PB fines were around 780-784 yuan/mt, down 0-5 yuan/mt from yesterday; in Tangshan, PB fines traded at 795-800 yuan/mt, also down 0-5 yuan/mt.

With the July Politburo meeting approaching, market risk aversion intensified, keeping futures in the doldrums. Next week, fundamentals are expected to show strong supply and demand dynamics, with both hot metal production and inventory levels supporting spot prices. The Politburo meeting outcomes will be key—any unexpectedly positive signals could break the current range-bound trend, otherwise consolidation may persist. [SMM Steel]