AGL 37.01 Decreased By ▼ -0.99 (-2.61%)
AIRLINK 132.60 Decreased By ▼ -4.09 (-2.99%)
BOP 5.51 Increased By ▲ 0.09 (1.66%)
CNERGY 3.79 Decreased By ▼ -0.04 (-1.04%)
DCL 7.48 Decreased By ▼ -0.11 (-1.45%)
DFML 44.81 Decreased By ▼ -1.24 (-2.69%)
DGKC 81.20 Increased By ▲ 0.85 (1.06%)
FCCL 28.65 Increased By ▲ 0.62 (2.21%)
FFBL 54.75 Decreased By ▼ -0.46 (-0.83%)
FFL 8.55 Decreased By ▼ -0.03 (-0.35%)
HUBC 107.90 Decreased By ▼ -4.75 (-4.22%)
HUMNL 13.56 Increased By ▲ 1.23 (9.98%)
KEL 3.81 Decreased By ▼ -0.04 (-1.04%)
KOSM 7.04 Decreased By ▼ -1.03 (-12.76%)
MLCF 36.25 Increased By ▲ 1.14 (3.25%)
NBP 67.30 Increased By ▲ 1.30 (1.97%)
OGDC 169.49 Decreased By ▼ -1.67 (-0.98%)
PAEL 24.88 Decreased By ▼ -0.30 (-1.19%)
PIBTL 6.15 Decreased By ▼ -0.05 (-0.81%)
PPL 130.70 Decreased By ▼ -2.15 (-1.62%)
PRL 24.50 Increased By ▲ 0.10 (0.41%)
PTC 15.77 Increased By ▲ 1.25 (8.61%)
SEARL 57.80 Decreased By ▼ -1.15 (-1.95%)
TELE 6.99 Decreased By ▼ -0.10 (-1.41%)
TOMCL 34.73 Decreased By ▼ -0.27 (-0.77%)
TPLP 7.70 Decreased By ▼ -0.39 (-4.82%)
TREET 13.96 Decreased By ▼ -0.34 (-2.38%)
TRG 44.25 Decreased By ▼ -1.34 (-2.94%)
UNITY 25.15 Decreased By ▼ -0.84 (-3.23%)
WTL 1.18 Decreased By ▼ -0.02 (-1.67%)
BR100 9,082 Decreased By -1.8 (-0.02%)
BR30 27,380 Decreased By -251 (-0.91%)
KSE100 85,483 Increased By 30.2 (0.04%)
KSE30 27,160 Increased By 10.7 (0.04%)

BEIJING: Chinese iron ore futures plunged more than 6% on Monday, falling for a second straight session and denting steel prices by more than 3%, as stringent COVID-19 restrictions prompted traders to be cautious and fuelled concerns over global demand.

The capital city of Beijing has implemented rounds of COVID-19 tests, closed entertainment venues, banned dine-in services at restaurants and urged staff at certain areas to work from home, as parts of efforts to persist its “dynamic-zero approach”.

“It’s not looking pretty this week with even more negative COVID-related headlines for Beijing, Guangdong, and Jilin released over the weekend,” said Atilla Widnell, managing director with Navigate Commodities.

“It’s looking increasingly likely that Chinese blast furnaces will struggle to justify high utilisation and operating rates in a demand- and margin-negative environment,” he added. The most-active iron ore futures on the Dalian Commodity Exchange, for September delivery, dived as much as 6.8% to 798 yuan ($119.09) a tonne in morning session. They were down 5.7% to 808 yuan per tonne, as of 0236 GMT. Coking coal futures on the Dalian bourse slumped 4.3% to 2,658 yuan a tonne, after the state planner pledged stronger supervision to stabilise prices, and coke fell 3.8% to 3,396 yuan per tonne. The plunge in raw materials had also pressured steel prices on the Shanghai Futures Exchange.

Construction material rebar, for October delivery, slipped 3.4% to 4,668 yuan a tonne. Hot-rolled coils declined 3.3% to 4,770 yuan per tonne.

“Despite positive signal from the Politburo meeting, current downstream demand is still largely affected by the pandemic,” analysts with SinoSteel wrote in a note, adding that steel inventories increased while apparent consumption was sluggish. Shanghai stainless steel futures, for June delivery, inched 0.7% higher to 19,230 yuan a tonne.

Comments

Comments are closed.