The iron ore fell as a wide and risk elevator that followed the American-China commercial truce faded, and the merchants made their attention to a challenging industry backdrop.
Futures fell around $ 99 per ton in Singapore, after increasing more than 3 percent on Monday to the highest point in almost three weeks. That advance occurred after the two largest economies in the world announced a massive reduction in rates.
Looking towards the future, the China steel market, the largest in the world, is ready to enter a seasonal extraction period, a change that is established in descending pressure on the demand for raw materials of Mills, including iron mineral.
The iron mineral has changed little in May after a series of three monthly losses that occurred when the global trade war increased and the Chinese authorities ordered factories to reduce steel production. Last week, the Chinese Iron and Steel Association said the government was “actively deploying and promoting” the steel production mandate.
“As we enter, the subsequent demand will be affected to some extent by the low season,” said Shanghai Metals Market in a note. In addition, the approach will focus on politics to reduce steel production and the accumulation of main steel inventories, he added.
The iron ore quoted 0.5 percent lower than $ 99.55 per ton at 10:55 am in Singapore, while future yuan prices in Dalian were flat. In Shanghai, the steel reinforcement contracts, which reached the lowest closure since 2017 last week, had little change after winning on Monday.
Separately, copper changed little to $ 9,511.50 for ton in the London Metal Exchange, while nickel and tin fell.
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Posted on May 13, 2025