Iron ore futures fell on Friday, reflecting cautious sentiment about the long-term demand outlook despite steady near-term demand. The decline comes after iron ore prices had risen in the previous four sessions, supported by expectations of additional stimulus and winter restocking by steel mills.
However, the market continues to feel the weight of high iron ore inventories at Chinese ports. Concerns about steel demand have also intensified as the winter season, which traditionally slows domestic steel activity, approaches. Additionally, protectionist measures against Chinese steel exports and potential tariffs under incoming U.S. President Trump add to the uncertainty.
The broader commodity market is under pressure from a risk-off sentiment in financial markets due to escalating tensions in the Ukraine-Russia conflict, which has further dampened prices.
On the Dalian Commodity Exchange, iron ore futures dropped by 1.09pct to 769 yuan (USD 106.2) per ton. Coke and coking coal futures also declined, falling 1.63pct to 1,905 yuan (USD 263) per ton and 0.54pct to 1,284 yuan (USD 177) per ton, respectively.
On the Shanghai Futures Exchange, rebar futures fell 1.5pct to 3,277 yuan (USD 453) per ton, while HRC futures declined 1.32pct to 3,448 yuan (USD 476) per ton. Wire rod prices slipped 1.33pct to 3,568 yuan (USD 493) per ton, and stainless steel futures dropped 0.97pct to 13,215 yuan (USD 1,825) per ton.
1 USD / 7.24 yuan
| Material | Closing Price (in yuan) |
Difference from Night Session (pct) |
Difference from Previous Morning Session (pct) |
| Wire Rod | 3,658 |
-1.33 |
-1.43 |
| HRC | 3,448 |
-1.32 |
-1.42 |
| Rebar | 3,277 |
-1.5 |
-1.68 |
| Stainless Steel | 13,215 |
-0.97 |
-1.06 |
| Iron Ore | 769 |
-1.09 |
-1.11 |
| Coke | 1,905 |
-1.63 |
-2.99 |
| Coking Coal | 1,284 |
-0.54 |
-2.53 |
