BEIJING/MANILA- Benchmark iron ore futures in China surged on Friday, clocking their biggest weekly gain in more than two years at nearly 20 percent on supply disruption fears over the Russia-Ukraine conflict.
The most-traded iron ore futures on the Dalian Commodity Exchange, for May delivery, extended gains into the fifth straight session and ended up 2.8 percent at 813 yuan ($128.65) per ton. They were rose as much as 5.7 percent to 836 yuan earlier in the session.
The benchmark iron ore futures logged weekly gains of 19.4 percent, the most since the week ended Feb. 21, 2020, recovering losses since Feb.11 when regulators stepped up measures to rein in raw material prices.
“Ukraine and Russia are important exporters for iron ingredient in the world … uncertainties lie in how long the conflict will last,” GF Futures analysts wrote in a note, adding that iron ore prices are expected to fluctuate in the near term.
Spot 62 percent iron ore for delivery to China gained $6.5 to $154 a ton on Thursday, data compiled by SteelHome consultancy showed. — Reuters
