BEIJING- China’s Dalian iron ore futures rose as much as 2.3 percent on Monday, the highest in more than ten days, fuelled by trade optimism between the world’s two largest economies, while firm demand from infrastructure and property sectors also helped.
The United States Trade Representative’s office and China’s Commerce Ministry said both sides are “close to finalizing” some parts of a trade agreement after high-level telephone discussions on Friday, and would continue to talk.
The most-active traded iron ore futures on the Dalian Commodity Exchange, for January 2020 delivery, jumped as much as 2.3 percent to 642 yuan ($90.93) a ton in morning trade.
“We are bullish on iron ore,” said Darren Toh, a data scientist with Singapore-based steel and iron data analytics company Tivlon Technologies.
“Steel inventory (is) easing and acceleration of infrastructure projects kick off,” he said, adding that an increasing property investment was also being noticed. – Reuters