Iron ore futures recovered on Friday as markets anticipated further fiscal stimulus announcements by Beijing ahead of a key press conference.
China’s Finance Minister is set to outline plans to intensify fiscal stimulus measures on Saturday. Investors and analysts suggest that China could introduce more than USD 282 bln in new fiscal support to bolster the world’s second-largest economy and restore market confidence, according to a Bloomberg report.
Strong domestic steel demand, particularly in October’s peak season, also lent support to the futures market.
On the Dalian Commodity Exchange, the most-traded iron ore contract increased by 1.15pct to 789 yuan (USD 111.4) per ton but remained down over 2pct for the week. Coke and coking coal futures saw gains of 1.28pct and 2.77pct, respectively, reaching 2,139 yuan (USD 302) and 1,484 yuan (USD 210) per ton.
Meanwhile, on the Shanghai Futures Exchange, rebar futures edged up 0.23pct to 3,468 yuan (USD 490) per ton, HRC futures rose 0.62pct to 3,599 yuan (USD 509) per ton, wire rod futures increased 0.77pct to 3,771 yuan (USD 533) per ton, and stainless steel futures inched higher by 0.25pct to 13,990 yuan (USD 1,977) per ton.
1 USD / 7.07 yuan
| Material | Closing Price (in yuan) |
Difference from Night Session (pct) |
Difference from Previous Morning Session (pct) |
| Wire Rod | 3,771 |
0.77 |
1.88 |
| HRC | 3,599 |
0.62 |
0.58 |
| Rebar | 3,468 |
0.23 |
0.75 |
| Stainless Steel | 13,990 |
0.25 |
0.18 |
| Iron Ore | 789 |
1.15 |
1.71 |
| Coke | 2,139 |
1.28 |
2.08 |
| Coking Coal | 1,484 |
2.77 |
3.20 |
