Iron ore futures fell on Friday due to weak seasonal demand for steel and a lack of stimulus measures from Beijing.
Commodity markets were underwhelmed as the government’s key meeting this week failed to signal any major policy shifts, despite the country’s economy struggling to maintain strong growth momentum.
Rising portside iron ore inventories and weak downstream steel demand continued to pose challenges for the iron ore outlook, with the property sector remaining the biggest drag on domestic steel demand.
On the Dalian Commodity Exchange, iron ore futures for September delivery decreased by 0.19pct to 804.5 yuan (USD 110.7) per ton. Dalian coke futures fell by 1.13pct to 2,182 yuan (USD 300), while coking coal futures increased by 0.29pct to 1,543.5 yuan (USD 213) per ton.
On the Shanghai Futures Exchange, rebar and HRC futures edged higher to 3,479 yuan (USD 479) per ton and 3,665 yuan (USD 505) per ton, respectively. However, wire rod futures fell by 0.25pct to 3,595 yuan (USD 495) per ton. Stainless steel futures inched up 0.11pct to 13,815 yuan (USD 1,902) per ton.
All the steel and raw material futures posted losses compared to the previous morning’s session.
1 USD / 7.26 yuan
| Material | Closing Price (in yuan) |
Difference from Night Session (pct) |
Difference from Previous Morning Session (pct) |
| Wire Rod | 3,595 |
-0.25 |
-0.39 |
| HRC | 3,665 |
0.11 |
-0.22 |
| Rebar | 3,479 |
0.12 |
-0.37 |
| Stainless Steel | 13,815 |
0.11 |
-0.14 |
| Iron Ore | 804.5 |
-0.19 |
-0.87 |
| Coke | 2,182 |
-1.13 |
-1.72 |
| Coking Coal | 1,543.5 |
0.29 |
-1.33 |
