Dalian iron ore futures continued to decline on Tuesday, weighed down by demand concerns. The increase in iron ore imports and the already high inventory levels at Chinese ports have further worsened the outlook for iron ore.
The market remains hopeful for a positive outcome from a key government meeting scheduled for July 15-18 in Beijing, where stimulus measures are anticipated. However, some analysts caution that any stimulus measures may not lead to long-term gains if downstream steel demand does not improve.
On the Dalian Commodity Exchange, iron ore futures for September delivery decreased by 0.48pct to 834 yuan (USD 114.6) per ton. Dalian coke futures slightly decreased by 0.16pct to 2,242.5 yuan (USD 308) per ton, while coking coal futures increased by 0.26pct to 1,563 yuan (USD 215) per ton. All steel-related raw material futures showed gains compared to the previous day’s morning session.
Meanwhile, on the Shanghai Futures Exchange, rebar futures dropped by 0.51pct to 3,515 yuan (USD 483) per ton. HRC futures decreased by 0.62pct to 3,711 yuan (USD 510) per ton. Wire rod futures fell by 0.59pct to 3,689 yuan (USD 507) per ton, and stainless steel futures dropped by 1.65pct to 14,010 yuan (USD 1,927) per ton. All steel futures, except for stainless steel, posted gains compared to the previous day’s morning session.
1 USD / 7.27 yuan
| Material | Closing Price (in yuan) |
Difference from Night Session (pct) |
Difference from Previous Morning Session (pct) |
| Wire Rod | 3,689 |
-0.59 |
0.11 |
| HRC | 3,711 |
-0.62 |
0.13 |
| Rebar | 3,515 |
-0.51 |
0.34 |
| Stainless Steel | 14,010 |
-1.65 |
-1.53 |
| Iron Ore | 834 |
-0.48 |
1.02 |
| Coke | 2,242.50 |
-0.16 |
0.69 |
| Coking Coal | 1,563 |
0.26 |
0.45 |
