Iron ore futures declined on Tuesday as lower steel production and weakening demand dampened market sentiment.
In September 2024, China’s crude steel output in key steelmaking regions dropped nearly 7pct YoY to 54 mln tons, according to the National Bureau of Statistics (NBS). This aligns with World Steel Association data, which reported a 6.1pct YoY decrease in Chinese steel production to 77.1 mln tons for the same month.
Chinese steel prices surged sharply before the October holidays following a series of stimulus measures from Beijing but have since been volatile. Despite early optimism, demand during the traditional peak season fell short of expectations.
On the Dalian Commodity Exchange, the most-traded iron ore contract dropped 0.52pct to 762 yuan (USD 107.1) per ton. Other steelmaking raw materials followed the downward trend, with coke futures falling 0.75pct to 1,978.5 yuan (USD 278) per ton and coking coal futures down 1.22pct to 1,340.5 yuan (USD 188) per ton.
On the Shanghai Futures Exchange, rebar futures slipped 0.15pct to 3,349 yuan (USD 471) per ton, while HRC futures fell 0.82pct to 3,493 yuan (USD 491) per ton. Wire rod futures saw a sharper decline of 3.04pct to 3,572 yuan (USD 502) per ton, and stainless steel futures dropped 1.37pct to 13,630 yuan (USD 1,916) per ton.
1 USD / 7.11 yuan
| Material | Closing Price (in yuan) |
Difference from Night Session (pct) |
Difference from Previous Morning Session (pct) |
| Wire Rod | 3,572 |
-3.04 |
-2.04 |
| HRC | 3,493 |
-0.82 |
-0.72 |
| Rebar | 3,349 |
-0.15 |
-0.27 |
| Stainless Steel | 13,630 |
-1.37 |
-1.72 |
| Iron Ore | 762 |
-0.52 |
-0.98 |
| Coke | 1,978.5 |
-0.75 |
-0.96 |
| Coking Coal | 1,340.5 |
-1.22 |
-1.83 |
