Pessimistic Sentiment Released, Iron Ore Prices Shift from Weakness to Strength [SMM Brief Review]

Published: Jan 22, 2026 17:35

Save

Today, iron ore futures on the Dalian Commodity Exchange shifted from weak to strong, with the most-traded contract I2605 closing at 786.5 yuan/mt, up 0.5% from the previous trading day. Spot prices rose by 2–5 yuan/mt compared to the previous trading day. Trader quoting activity was moderate today; steel mills restocked based on demand. The overall market trading atmosphere was moderate.

Industrial data released today showed a significant decline in apparent demand for the five major steel products, with finished product inventory at steel mills accumulating. This was mainly due to widespread rain and snow across the country, coupled with the industry's off-season, leading to persistently weak end-use demand and accelerated inventory accumulation. However, the continuous decline in ore prices this week somewhat released market pessimism. At the same time, as steel mills actively stockpiled and increased procurement ahead of the Chinese New Year, support was provided for iron ore prices, resulting in a slight strengthening trend.

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

20 hours ago

Before the holiday, the black chain is unlikely to see a trend-driven market [SMM Steel Industry Chain Weekly Report].

This week, ferrous metals were in the doldrums, with coking coal and coke staging a mid-week rise. At the beginning of the week, financial markets experienced sharp fluctuations, dragging down sentiment in the ferrous chain and leading to a pullback in futures. Mid-week, Indonesia's cut to coke production quotas drove coking coal and coke futures to lead the gains, though the impact was more pronounced on thermal coal, while coking coal's rise was largely sentiment-driven and short-lived. In the latter part of the week, finished products continued their seasonal inventory buildup, and support from the raw material side weakened, causing the entire ferrous chain to pull back. In the spot market, with the Chinese New Year holiday approaching, purchasing activity slowed down further, with end-users only making limited, as-needed purchases at low prices.

20 hours ago

MMi Daily Iron Ore Report (February 6)

Today, the DCE iron ore futures continued to hit bottom today, with the most-traded contract I2605 closing at 760.5 yuan/mt, down 1.23% from the previous trading day. Spot prices fell by 5–10 yuan/mt compared to the previous trading day.

20 hours ago

21 hours ago

[SMM Chromium Daily Review] Inquiries and Transactions Weakened, Chromium Market Showed Mediocre Performance Before the Holiday

[SMM Chrome Daily Review: Trading and Inquiries Weakened, Chrome Market Showed Mediocre Performance Before the Holiday] February 6, 2026: Today, the ex-factory price of high-carbon ferrochrome in Inner Mongolia was 8,500-8,600 yuan/mt (50% metal content), flat MoM from the previous trading day...

21 hours ago