Iron ore prices rose, supported by seasonal demand for the steelmaking metal amid mild weather, while gains were capped by increased production from Chinese companies.
April iron ore futures on the Singapore Exchange rose 0.76% to $102.35 per tonne by 1:08 p.m. Mecca time.
A note prepared by brokerage firm Hexson Futures, based on data from the China Iron and Steel Association, stated that the country’s major steel companies produced an average of 2.75 million tons per day so far in March.
In another note, it stated that blast furnaces in China that had been undergoing maintenance resumed operations this month, according to Reuters.
Iron ore prices remain relatively stable at the moment, despite the real estate market entering a peak construction phase, according to analysts at ANZ. They explained in a report that signs of weakness in the steel market have erased the gains made in raw material prices.
