Iron again5 May 2024 07:47
Prices for iron ore cargoes with a 62% iron ore content rebounded to $118 per tonne in May, the highest March, as increasing demand was met with uncertain supply. Fortescue noted that shipments for the year should be at the lower range of its guidance due to problems in key mines, limiting supply out of Australia. This coincided with robust global demand, as the latest data showed that Chinese steel exports surged by over 25% from the previous year in March to nearly 10 million tonnes, the highest since 2016. This was magnified by growth in foreign new orders for manufactured goods according to April’s official and private PMIs. Still, persistent concerns over the country’s property sector capped iron ore’s rebound. Beijing relaxed home purchase restrictions for the first time in 13 years to stimulate home buying, mirrored by the previously robust Chengdu market. While the changes may support properties in the near term, the increasingly desperate measures highlight consumer weakness.
https://tradingeconomics.com/commodity/iron-ore