BEIJING- Dalian iron ore futures narrowed gains on Wednesday, as some investors retreated to the sidelines on weak industrial data in top consumer China, and as strong expectations of fresh stimulus measures faded.
The most-traded September iron ore on the Dalian Commodity Exchange (DCE) traded 1.05 percent higher at 819 yuan ($113.32) a metric ton.
The benchmark July iron ore on the Singapore Exchange was 0.2 percent lower at $112.35 a metric ton.
Profits at China’s industrial firms tumbled 18.8 percent year-on-year in the first five months of 2023, extending a 20.6 percent contraction in the January-April period, data from the National Bureau of Statistics (NBS) showed on Wednesday.
The futures rallied over 4 percent on Tuesday, as market sentiment was boosted after Chinese Premier Li Qiang said the country would roll out more effective policy measures to expand domestic demand.
Helping eye-catching gains was market chatter that the world’s second-largest economy will announce some stimulus policies later in the day as part of efforts to prop up its bumpy property market. – Reuters
