BEIJING- Iron ore futures were mixed on Tuesday, with the Dalian benchmark extending losses amid lingering concerns over near-term demand in top consumer China, while hopes of US Federal Reserve cutting interest rates underpinned the Singapore benchmark.
The most-traded September iron ore contract on China’s Dalian Commodity Exchange (DCE) traded 0.94 percent lower at 844 yuan ($116.48) a metric ton, after falling to as low as 839 yuan a ton earlier the session.
Diminishing steel demand dampened mills’ buying appetite for iron ore, with transaction volumes at major ports sliding by 17 percent from the previous session to 735,000 tons on Monday, data from consultancy Mysteel showed.
Prices of the key steelmaking feedstock have lost more than 6 percent from last week, even as more regional stimulus for the property market was unveiled to spur the struggling sector.
The benchmark July iron ore on the Singapore Exchange was 0.18 percent higher at $110.85 a ton, after softer-than-expected economic data strengthened expectations of a Fed rate cut later this year.
Other steelmaking ingredients on the DCE receded, with coking coal and coke down 0.71 percent and 0.42 percent , respectively.
