Iron ore futures slipped on Wednesday, reversing earlier gains after a key policy meeting in Beijing concluded without any major stimulus announcements to support economic growth.
Chinese leaders signaled they would hold off on launching large-scale support measures for now. Instead, the focus will be on curbing price wars among producers and addressing overcapacity in key sectors, steps aimed at easing deflationary pressure but potentially dampening iron ore demand.
Prices had initially risen earlier in the session following news that U.S. and Chinese officials agreed to pursue an extension of their 90-day tariff truce, set to expire on August 12, after talks in Stockholm.
Zhao Minge, president of the China Iron and Steel Association (CISA), said Beijing will continue to implement policies to reduce excess steel production capacity, with efforts expected to accelerate over the remainder of the year, another bearish signal for iron ore.
In the physical market, sentiment remained cautiously optimistic. However, traders warned that the recent sharp rise in finished steel prices could lose momentum unless there is a clear recovery in downstream demand or fresh policy support from the government.
On the Dalian Commodity Exchange, the most-traded September iron ore contract fell 0.44pct to 789 yuan (USD 109.90) per ton. Meanwhile, coking coal gained 2.71pct to 1,117 yuan (USD 156) per ton, and coke futures jumped 4pct to 1,676.5 yuan (USD 234) per ton.
On the Shanghai Futures Exchange, rebar rose 0.42pct to 3,315 yuan (USD 462) per ton, HRC climbed 0.81pct to 3,483 yuan (USD 485), wire rod edged up 0.2pct to 3,523 yuan (USD 491), and stainless steel increased 0.31pct to 12,920 yuan (USD 1,800) per ton.
1 USD / 7.17 yuan
CHINESE STEEL FUTURES
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Date: 7/30/2025 |
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| Material | Closing Price (in yuan) |
Difference from Night Session (pct) |
Difference from Previous Morning Session (pct) |
| Wire Rod | 3,523 |
0.20 |
-0.88 |
| HRC | 3,483 |
0.81 |
-0.57 |
| Rebar | 3,315 |
0.42 |
-0.97 |
| Stainless Steel | 12,920 |
0.31 |
0 |
| Iron Ore | 789 |
-0.44 |
-1.14 |
| Coke | 1,676.5 |
4.00 |
2.59 |
| Coking Coal | 1,117 |
2.71 |
-0.31 |
