Iron ore futures declined on Friday but recorded weekly gains as mills increased production to capitalize on improved steel demand.
The reduction in steel inventories at major Chinese warehouses, signaling stronger demand during the traditional peak consumption season in September and October, bolstered positive market sentiment.
The weekly rise in iron ore futures is also attributed to restocking by Chinese steel mills ahead of the Mid-Autumn Festival holiday on September 16 and 17, 2024.
On the Dalian Commodity Exchange, the most-traded iron ore contract fell 0.29pct to 694 yuan (USD 97.4) per ton but posted a 1.76pct gain for the week. Coke and coking coal futures also increased, up 1.39pct and 0.2pct, respectively, to 1,866 yuan (USD 262) and 1,269 yuan (USD 178) per ton.
In the Shanghai Futures Exchange, rebar futures rose 1.01pct to 3,190 yuan (USD 448) per ton, HRC futures increased 1.06pct to 3,245 yuan (USD 456) per ton, wire rod futures gained 0.55pct to 3,505 yuan (USD 492) per ton, and stainless steel futures edged up 0.04pct to 13,350 yuan (USD 1,875) per ton.
1 USD / 7.12 yuan
| Material | Closing Price (in yuan) |
Difference from Night Session (pct) |
Difference from Previous Morning Session (pct) |
| Wire Rod | 3,505 |
0.55 |
0.31 |
| HRC | 3,245 |
1.06 |
0.03 |
| Rebar | 3,190 |
1.01 |
0.16 |
| Stainless Steel | 13,350 |
0.04 |
-0.22 |
| Iron Ore | 694 |
-0.29 |
-1.87 |
| Coke | 1,866 |
1.39 |
0.13 |
| Coking Coal | 1,269 |
0.20 |
-1.06 |
