China: Imported Iron Ore Prices Supported by Fundamentals in February

In February, the prices of imported iron ore fluctuated slightly due to news factors. Some provinces and cities once again introduced favourable real estate-related policies, thus more downstream companies resumed production, which stimulated market sentiment and supported iron ore prices. The market also faced risks from the US Fed’s rate hikes, overseas mine and railway accidents, and the trading limit introduced by DCE. The overall ore prices fell first and then rose in February.

As of the end of February, the spot prices of mainstream fines at major ports in Shandong and Hebei burgeoned by more than 20 yuan/mt MoM. In mid-February, the ore prices were dragged down by the news factors and once crashed to 860 yuan/mt. In late February, the prices bounced back to more than 910 yuan/mt amid strong fundamental support and the release of supporting macro policies.
Source: SMM Information & Technology