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Iron ore futures were little changed on Friday as weak demand from Chinese steel mills and rising port inventories continued to weigh on the market.
Inventories at major Chinese ports continued to build, while outbound shipments weakened, pointing to softer spot demand. Steel mills remained cautious, purchasing mainly to meet immediate operational needs rather than restocking. With supply remaining comfortable and port stocks elevated, iron ore prices are likely to remain under pressure in the near term.
Daily crude steel output among China Iron and Steel Association (CISA) member mills rose 3.1pct to 1.94 mln tons during October 1-10 compared with the final ten days of September. However, output remained 4.6pct lower YoY.
Chinese steel traders said domestic prices fluctuated within a narrow range during the past week, reflecting generally weak market conditions despite some support from low inventories and expectations of capacity cuts.
On the Dalian Commodity Exchange, the most-traded iron ore contract edged up 0.07pct to 672.5 yuan (USD 100.5) per ton. Coking coal fell 1.07pct to 1,482 yuan (USD 221) per ton, while coke slipped 0.03pct to 1,972.5 yuan (USD 295) per ton.
On the Shanghai Futures Exchange, rebar rose 0.26pct to 3,074 yuan (USD 459) per ton, while HRC increased 0.19pct to 3,242 yuan (USD 485) per ton. Wire rod fell 0.58pct to 3,411 yuan (USD 510) per ton, while stainless steel declined 0.38pct to 13,215 yuan (USD 1,975) per ton.
1 USD / 6.69 yuan
| Item | Closing Price (in yuan) | Difference from Night Session (pct) | Difference from Previous Morning Session (pct) |
|---|---|---|---|
| Wire Rod | 3,411.00 | ▼ -0.58 | ▼ -0.67 |
| Hot Rolled Coils | 3,242.00 | ▲ 0.19 | 0.00 |
| Rebar | 3,074.00 | ▲ 0.26 | ▲ 0.10 |
| Stainless Steel | 13,215.00 | ▼ -0.38 | ▲ 0.04 |
| Iron ore | 672.50 | ▲ 0.07 | ▲ 0.15 |
| Coke | 1,972.50 | ▼ -0.03 | ▼ -0.03 |
| Coking Coal | 1,482.00 | ▼ -1.07 | ▼ -1.42 |