Iron ore futures rose on Monday as renewed expectations of further stimulus from Beijing helped offset concerns about steel demand.
According to the National Bureau of Statistics, China’s industrial profits fell sharply in September 2024, plunging 27.1pct YoY, marking the steepest decline this year. The release of weak economic data, coupled with an upcoming parliamentary session next month, has boosted hopes for additional government measures aimed at achieving the 5pct GDP growth target.
In comments fueling these hopes, Vice Minister of Finance Liao Min indicated that China would ramp up countercyclical fiscal policies, including initiatives to address local government debt, stabilize the real estate market, and improve livelihoods. The plan involves stimulating consumer spending, supporting equipment upgrades, and driving investment in key areas.
On the Dalian Commodity Exchange, the most-traded iron ore contract rose by 2.35pct to 783.5 yuan (USD 110) per ton. Coke futures gained 4.61pct to 2,067 yuan (USD 290) per ton, while coking coal was up 4.14pct at 1,409.5 yuan (USD 198) per ton.
In the Shanghai Futures Exchange, rebar futures increased 2.65pct to 3,451 yuan (USD 485) per ton, HRC futures rose 2.64pct to 3,615 yuan (USD 508) per ton, and wire rod futures were up 4.12pct to 3,713 yuan (USD 521) per ton. Stainless steel futures inched up 0.4pct to 13,740 yuan (USD 1,929) 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 | 3,713 |
4.12 |
3.91 |
| HRC | 3,615 |
2.64 |
2.07 |
| Rebar | 3,451 |
2.65 |
2.17 |
| Stainless Steel | 13,740 |
0.40 |
0.47 |
| Iron Ore | 783.5 |
2.35 |
1.79 |
| Coke | 2,067 |
4.61 |
3.73 |
| Coking Coal | 1,409.5 |
4.14 |
3.87 |
