Iron ore futures recovered on Thursday as the market anticipates Beijing to unveil stimulus measures in a key meeting scheduled from July 15 to July 18. The expectation of stimulus measures is further fueled by disappointing economic data.
China’s consumer price growth slowed in June, while factory prices experienced deflation, according to the National Bureau of Statistics. This reflects that the country’s economy is still struggling despite numerous policy measures aimed at stabilizing it.
The outlook for iron ore demand remains bearish due to increasing port-side iron ore inventory and a persistent rise in steel inventories, indicating a continued slowdown in steel demand in the country.
On the Dalian Commodity Exchange, iron ore futures for September delivery increased by 0.79pct to 828 yuan (USD 113.7) per ton. Dalian coke and coking coal futures also rose by 0.47pct and 1.07pct, respectively, to 2,232 yuan (USD 307) and 1,560 yuan (USD 214) per ton.
Meanwhile, on the Shanghai Futures Exchange, rebar futures grew by 0.63pct to 3,514 yuan (USD 483) per ton. HRC futures increased by 0.24pct to 3,703 yuan (USD 509) per ton, and wire rod futures rose by 0.79pct to 3,690 yuan (USD 507) per ton. Stainless steel futures dropped by 0.79pct to 13,870 yuan (USD 1,906) per ton.
1 USD / 7.27 yuan
| Material | Closing Price (in yuan) |
Difference from Night Session (pct) |
Difference from Previous Morning Session (pct) |
| Wire Rod | 3,690 |
0.79 |
0.81 |
| HRC | 3,703 |
0.24 |
0.49 |
| Rebar | 3,514 |
0.63 |
1.02 |
| Stainless Steel | 13,870 |
-0.79 |
-0.43 |
| Iron Ore | 828 |
0.79 |
1.81 |
| Coke | 2,232 |
0.47 |
0.76 |
| Coking Coal | 1,560 |
1.07 |
1.86 |
