China’s iron ore futures edged lower on Tuesday as firm cost support failed to offset weaker iron ore fundamentals and cautious buying from steel mills.
On the raw material side, coking coal remains firm, with tight mine supply and strong market sentiment supporting prices. Coke producers are also maintaining production restrictions amid losses, while another round of coke price increases is adding to the cost pressure across the ferrous complex.
For iron ore, however, the supply-demand picture remains less supportive. Blast furnace maintenance continues to limit near-term hot metal output, while some mills have delayed production resumptions amid uncertainty over the strength of the September-October demand season. This has kept procurement cautious despite relatively firm steel prices.
Chinese steel traders said the domestic market remained firm, although price gains were becoming more limited.
On the Dalian Commodity Exchange, the most-traded iron ore contract fell 0.28pct to 713.5 yuan (USD 106.1) per ton. Coke futures declined 0.44pct to 2,145 yuan (USD 319) per ton, while coking coal futures fell 1.34pct to 1,578 yuan (USD 235) per ton.
On the Shanghai Futures Exchange, HRC futures increased 0.42pct to 3,343 yuan (USD 497) per ton, while rebar futures rose 0.33pct to 3,071 yuan (USD 457) per ton. Wire rod futures fell 0.12pct to 3,250 yuan (USD 484) per ton, while stainless steel futures declined 1.16pct to 14,085 yuan (USD 2,096) per ton.
1 USD / 6.72 yuan
| Item | Closing Price (in yuan) | Difference from Night Session (pct) | Difference from Previous Morning Session (pct) |
|---|---|---|---|
| Wire Rod | 3,250.00 | ▼ -0.12 | ▼ -0.80 |
| Hot Rolled Coils | 3,343.00 | ▲ 0.42 | ▲ 0.09 |
| Rebar | 3,071.00 | ▲ 0.33 | ▲ 0.16 |
| Stainless Steel | 14,085.00 | ▼ -1.16 | ▼ -0.92 |
| Iron ore | 713.50 | ▼ -0.28 | ▼ -0.35 |
| Coke | 2,145.00 | ▼ -0.44 | ▼ -0.35 |
| Coking Coal | 1,578.00 | ▼ -1.34 | ▼ -0.38 |