SINGAPORE- Iron ore futures prices strengthened on Thursday, buoyed by seasonal steel demand in top consumer China, outweighing trade war woes sparked by fresh US tariffs.
The most-traded May iron ore contract on China’s Dalian Commodity Exchange (DCE) traded 1.28 percent higher at 789 yuan ($108.67) a metric ton.
Earlier in the session, prices hit 792 yuan, their highest since March 17.
The benchmark April iron ore on the Singapore Exchange was 0.77 percent higher at $103.15 a ton.
The traditional construction peak season in March and April has led to a seasonal rebound in overall steel consumption, supporting prices in the short-term, broker Hexun Futures said in a note.
Hot metal production in March increased by 56,700 tons to 2.3626 million tons month-on-month, and daily consumption of imported ore increased by 67,900 tons on-month, Chinese consultancy Everbright Futures said in a note.
Hot metal output is typically used to gauge iron ore demand.
