MANILA, March 25 (Reuters) – Chinese iron ore futures rose more than 5% on Wednesday, the most since July last year, on worries over supply as more countries including top producers of the steelmaking raw material ordered lockdowns to contain the coronavirus pandemic.
Hopes for global stimulus and a revival in steel demand also buoyed overall sentiment, with U.S. lawmakers moving closer to passing a $2 trillion aid package and the Group of 20 major economies looking to advance a coordinated response to the pandemic.
Iron ore on the Dalian Commodity Exchange ended 5.1% higher at 665 yuan ($93.97) a tonne, wiping out its losses for this year. Futures on the Singapore Exchange rose 2.5% in afternoon trade.
Benchmark 62% iron ore’s spot price settled at $84.70 a tonne on Tuesday, up from Monday’s six-week low of $84.50, SteelHome consultancy data showed. SH-CCN-IRNOR62
If the price holds at $80 a tonne for the rest of March, the average price for the first quarter would be $88.50, said Wood Mackenzie research director Paul Gray, still above the consultancy’s pre-crisis forecast of $85.
For the rest of this this article: https://in.reuters.com/article/asia-ironore/update-1-china-iron-ore-erases-2020-losses-on-supply-concerns-stimulus-idINL4N2BI1UD