Fundamentals and the macro front jointly support iron ore prices to continue fluctuating upward [SMM Commentary]

Today, Dalian iron ore fluctuated upward. The most-traded I2505 contract finally closed at 804.5 yuan/mt, up 0.56% for the day. Traders showed moderate willingness to sell. Steel mills remained cautious, with average inquiries. Today's market transaction atmosphere was moderate. In Shandong, mainstream transaction prices for PB fines ranged from 790-795 yuan/mt, up 5 yuan/mt from yesterday; in Tangshan, transaction prices for PB fines were around 815 yuan/mt, also up 5 yuan/mt from yesterday. According to SMM statistics, the impact of blast furnace maintenance on pig iron production this week was 1.7632 million mt, down 112,400 mt WoW. This week's pig iron production showed moderate growth. Coupled with some steel mills still having minor restocking needs, overall demand for iron ore was relatively strong. Additionally, the steel export tariff policy was better than expected, boosting market sentiment. Iron ore prices continued to fluctuate upward.