Iron Ore Price Falls Below $100 Per Ton in China this week
The price of iron ore fell Wednesday 24th May, languishing below $100 a ton, as steel prices crashed in China.
A weaker yuan added to the gloomy mood as Shanghai rebar futures hit their lowest level in more than six months.
Benchmark fines of 62% Fe imported into North China fell 3.22% to $97.83 a ton, the lowest since November.
The most traded iron ore in September on China’s Dalian Commodity Exchange ended the day down 4.6% at 682.50 yuan ($98.74) a ton, hitting its lowest since May 5 at 682 yuan.
The Chinese yuan gave up all the gains it had made this year against a basket of currencies from its trading partners amid renewed tensions in Sino-U.S. relations.
The weak currency added to lingering concerns about the uneven economic recovery in China, the top steel producer and consumer of metals, analysts at Sinosteel Futures said in a note.
Steel demand from China – which fell short of expectations for the peak construction season between March and May – is expected to remain subdued, and mills are complying with Chinese production limits to reduce emissions.
