Iron ore futures posted gains on Wednesday, driven by improved macroeconomic fundamentals. Chinese banks extended 990 bln yuan (USD 135 bln) in new loans last month, up from 580 bln yuan in November 2024, positively influencing commodity markets.
However, analysts suggest that additional stimulus is necessary to sustain the momentum and mitigate potential tariffs from the incoming U.S. administration under Trump.
Despite the improved macroeconomic environment, the outlook for iron ore remains uncertain due to higher port-side inventory and a seasonal slowdown in local steel demand, though strong exports provide some support.
On the Dalian Commodity Exchange, iron ore futures rose 0.71pct to 782.5 yuan (USD 106.7) per ton. Coke and coking coal futures also saw gains, increasing 0.64pct and 0.54pct to 1,735.5 yuan (USD 237) and 1,127 yuan (USD 154) per ton, respectively.
Meanwhile, on the Shanghai Futures Exchange, rebar futures climbed 0.67pct to 3,290 yuan (USD 449) per ton, and hot-rolled coil (HRC) futures grew 0.92pct to 3,417 yuan (USD 466) per ton. Wire rod futures edged down slightly by 0.08pct to 3,563 yuan (USD 486) per ton, and stainless steel futures slipped 0.15pct to 13,165 yuan (USD 1,796) per ton.
1 USD / 7.33 yuan
| Material | Closing Price (in yuan) |
Difference from Night Session (pct) |
Difference from Previous Morning Session (pct) |
| Wire Rod | 3,563 |
-0.08 |
-0.76 |
| HRC | 3,417 |
0.92 |
0.23 |
| Rebar | 3,290 |
0.67 |
0.21 |
| Stainless Steel | 13,165 |
-0.15 |
-0.15 |
| Iron Ore | 782.5 |
0.71 |
-0.06 |
| Coke | 1,735.5 |
0.64 |
0.29 |
| Coking Coal | 1,127 |
0.54 |
-0.22 |
