Iron ore futures rose on Monday, supported by steady near-term demand, though gains were limited by persistent concerns over future consumption.
Chinese steel mills, particularly those using blast furnaces, kept production levels higher, as lower raw material costs sustained healthy profit margins.
Adding to market support, inventories of both finished steel at major Chinese warehouses and iron ore at key ports declined last week.
However, demand outlook remains clouded. Seasonal factors such as the summer slowdown in construction activity, along with broader structural concerns, continue to weigh on sentiment. China’s ongoing property sector crisis, rising protectionist measures from major steel-importing nations, trade tensions with the U.S., and geopolitical instability in the Middle East all threaten to dampen iron ore demand in the longer term.
On the Dalian Commodity Exchange, the most-traded September iron ore contract gained 0.5pct to 706 yuan (USD 98.2) per ton.
Coke and coking coal futures were mixed, coke dipped 0.22pct to 1,385 yuan (USD 193), while coking coal rose 1.25pct to 807 yuan (USD 112) per ton.
On the Shanghai Futures Exchange, rebar edged up 0.03pct to 2,995 yuan (USD 417) per ton, HRC slipped 0.16pct to 3,112 yuan (USD 433), Wire rod futures fell 0.33pct to 3,305 yuan (USD 460) per ton. Stainless steel dropped 1.16pct to 12,390 yuan (USD 1,724) per ton.
1 USD / 7.18 yuan
CHINESE STEEL FUTURES
|
Date: 6/20/2025 |
||
| Material | Closing Price (in yuan) |
Difference from Night Session (pct) |
Difference from Previous Morning Session (pct) |
| Wire Rod | 3,305 |
-0.33 |
-0.30 |
| HRC | 3,112 |
-0.16 |
-0.13 |
| Rebar | 2,995 |
0.03 |
0.10 |
| Stainless Steel | 12,390 |
-1.16 |
-0.93 |
| Iron Ore | 706 |
0.50 |
0.42 |
| Coke | 1,385 |
-0.22 |
0.04 |
| Coking Coal | 807 |
1.25 |
1.49 |