Iron ore futures fell during pre-holiday trading on Friday, as weak demand fundamentals continued to weigh on market sentiment.
Trading activity has thinned sharply ahead of China’s week-long holiday starting next week, with steel mills typically scaling back operations for maintenance, dampening near-term demand for iron ore. The demand outlook remains bearish, with higher portside inventories expected to offset any modest improvement in steel output or short-term supply disruptions from Australia and Brazil.
Domestic steel demand has also entered a seasonal slowdown. While market conditions are expected to become clearer after the holiday period, the introduction of a new licensing regime for Chinese steel exports continues to weigh on sentiment. Market sources said the steel sector is looking to Beijing for potential policy support to revive demand following the holidays.
On the Dalian Commodity Exchange, the most-traded May iron ore contract dropped 2.36pct to 746 yuan (USD 107.9) per ton, down 1.91pct compared with last Friday’s morning session close. Coking coal futures eased 0.31pct to 1,121 yuan (USD 162), while coke futures rose 1.05pct to 1,682 yuan (USD 243) per ton.
On the Shanghai Futures Exchange, rebar futures edged higher to 3,055 yuan (USD 442) per ton, while HRC futures were flat at 3,222 yuan (USD 466). Wire rod futures slipped 0.27pct to 3,321 yuan (USD 481), and stainless steel futures fell 1.53pct to 13,860 yuan (USD 2,006) per ton.
1 USD / 6.9 yuan
| Item | Closing Price (in yuan) | Difference from Night Session (pct) | Difference from Previous Morning Session (pct) |
|---|---|---|---|
| Wire Rod | 3,321.00 | ↓ 0.27 | ↓ 0.27 |
| Hot Rolled Coils | 3,222.00 | 0.00 | ↑ 0.12 |
| Rebar | 3,055.00 | ↑ 0.13 | ↑ 0.16 |
| Stainless Steel | 13,860.00 | ↓ 1.53 | ↓ 0.79 |
| Iron ore | 746.00 | ↓ 2.36 | ↓ 2.14 |
| Coke | 1,682.00 | ↑ 1.05 | ↑ 1.07 |
| Coking Coal | 1,121.00 | ↓ 0.31 | ↑ 0.09 |
