BEIJING- Dalian iron ore futures prices rose for a second consecutive session on Thursday, aided by lingering concerns over weather-related supply disruptions in major exporter Australia.
However, fears of a major global trade war after US President Donald Trump’s fresh tariffs on steel and aluminum imports curbed gains.
The most-traded May iron ore contract on China’s Dalian Commodity Exchange (DCE) climbed 0.3 percent to 823 yuan ($112.64) a metric ton.
Australian shipments are expected to fall further after Port Hedland, the world’s largest iron ore export hub, closed on Wednesday due to tropical cyclone Zelia.
Hot metal output, typically used to gauge iron ore demand, has been increasing at a pace faster than the same period the year before, while the recovery in downstream steel demand has also beaten expectations, analysts at Shengda Futures said in a note.
Also supporting prices was anticipation that steelmakers may still need to restock iron ore to meet production needs after the Lunar New Year holidays.
