Dalian iron ore falls

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SINGAPORE- Dalian iron ore futures prices extended losses on Thursday, dragged down by the weakening steel market in top consumer China, while investors awaited details of Beijing’s likely stimulus measures announced at the Third Plenum meeting.

The most-traded September iron ore contract on China’s Dalian Commodity Exchange (DCE) ended morning trade 1.65 percent  lower at 805.5 yuan ($110.99) a metric ton.

It hit an intraday low of 798 yuan a ton earlier in the session, its lowest since June 26.

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The benchmark August iron ore on the Singapore Exchange was, however, up 0.1 percent  at $105.15 a ton.

Steel benchmarks on the Shanghai Futures Exchange were pressured by lacklustre demand constrained by temperature and heavy rains in some regions.

Rebar and wire rod lost nearly 1.5 percent , hot-rolled coil shed 1.1 percent  and stainless steel dipped 0.5 percent .

Daily transaction volumes of construction steel products shrank by 18 percent  from Tuesday to 95,300 tons on Wednesday, data from consultancy Mysteel showed.

The prospect of mounting trade tensions between the US and China also weighed on investor sentiment.

The World Trade Organization said on Wednesday it was unable to get a clear picture of China’s financial support for key industrial sectors, including steel production, due to an “overall lack of transparency”.

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