MMi Daily Iron Ore Index Report May 24 2021

Five government departments, including the National Development and Reform Commission, the Ministry of Industry and Information Technology, the State-owned Assets Supervision and Administration Commission, the State Administration for Market Regulation and the China Securities Regulatory Commission, held a meeting on May 23 to jointly discuss key enterprises with strong market influence in iron ore, steel, copper, aluminum and other industries. Regulators will closely monitor commodity price movements to cool the market, and the market risk aversion increased. DCE iron ore futures market plummeted sharply this morning and I2109 hit a new low to 1016 for more than a month. There were few unsolicited bids in the spot market and mills showed little purchasing intentions as well. Although current iron ore supply and demands have no significantly changes, iron ore price supports weakened in consideration of the fast shrinking profits from steel mills.

Source: Metals Market Index (MMi)