Iron ore stretched a rally into a fifth straight session on Thursday, with the benchmark Dalian contract scaling a three-week high while spot prices rose above $100 a ton, buoyed by improved sentiment towards China’s property sector.
The most-traded January iron ore contract on China’s Dalian Commodity Exchange climbed up to 4.8 percent to 629 yuan ($98.46) a ton, its highest level since Nov. 2.
Benchmark 62 percent-grade iron ore’s spot price in China jumped to $100.50 a ton on
Wednesday, also the strongest since Nov. 2, according to SteelHome consultancy data.
On the Singapore Exchange, the steelmaking ingredient’s front-month December contract traded 3 percent higher at $106.10 a ton.
“Iron ore futures rallied on expectations of a turnaround in the demand outlook,” commodity strategists at ANZ wrote in a note. “Markets have been buoyed by strong Chinese announcements, including more support for its property sector.”
