Iron ore prices rose for the third consecutive session, reaching their highest levels in several weeks, supported by expectations of improved demand in China, while rising steel inventories limited price gains.
At the close of trading on Thursday, the most active iron ore contract for January 2026 delivery on the Dalian Exchange rose 1.65% to 791.5 yuan ($110.65) per ton, its highest level since August 14.
On the Singapore Exchange, iron ore futures for October delivery rose 1.6% to $104.9 per ton by 10:56 a.m. Mecca time, after earlier touching $105.35, its highest level since July 24.
Analysts expect some steel companies to begin resuming production and increasing their purchases of raw materials, but high inventories and weak demand could slow the pace of recovery, according to Reuters.
This comes after steel mills in Tangshan, China’s largest steel-producing city, received orders to cut production to improve air quality ahead of a military parade in Beijing, temporarily pressuring demand.
