AIRLINK 173.15 Increased By ▲ 15.74 (10%)
BOP 10.65 Increased By ▲ 0.28 (2.7%)
CNERGY 8.52 Increased By ▲ 0.20 (2.4%)
CPHL 97.46 Increased By ▲ 4.57 (4.92%)
FCCL 47.25 Increased By ▲ 0.52 (1.11%)
FFL 15.42 Increased By ▲ 0.54 (3.63%)
FLYNG 28.13 Increased By ▲ 1.15 (4.26%)
HUBC 138.91 Increased By ▲ 4.90 (3.66%)
HUMNL 12.81 Increased By ▲ 0.29 (2.32%)
KEL 4.54 Increased By ▲ 0.33 (7.84%)
KOSM 5.55 Increased By ▲ 0.16 (2.97%)
MLCF 62.26 Increased By ▲ 1.38 (2.27%)
OGDC 214.75 Increased By ▲ 6.23 (2.99%)
PACE 5.55 Increased By ▲ 0.15 (2.78%)
PAEL 44.86 Increased By ▲ 4.08 (10%)
PIAHCLA 18.70 Decreased By ▼ -0.10 (-0.53%)
PIBTL 10.74 Increased By ▲ 0.76 (7.62%)
POWER 12.26 Increased By ▲ 0.30 (2.51%)
PPL 173.87 Increased By ▲ 5.10 (3.02%)
PRL 36.22 Increased By ▲ 1.19 (3.4%)
PTC 23.56 Increased By ▲ 0.57 (2.48%)
SEARL 95.31 Increased By ▲ 2.21 (2.37%)
SSGC 39.13 Increased By ▲ 3.56 (10.01%)
SYM 14.02 Increased By ▲ 0.36 (2.64%)
TELE 7.23 Increased By ▲ 0.28 (4.03%)
TPLP 10.29 Increased By ▲ 0.29 (2.9%)
TRG 64.68 Increased By ▲ 4.01 (6.61%)
WAVESAPP 10.04 Increased By ▲ 0.34 (3.51%)
WTL 1.33 Increased By ▲ 0.03 (2.31%)
YOUW 3.70 Increased By ▲ 0.05 (1.37%)
BR100 12,492 Increased By 252.4 (2.06%)
BR30 37,694 Increased By 1300.9 (3.57%)
KSE100 116,189 Increased By 2036.1 (1.78%)
KSE30 35,750 Increased By 549.8 (1.56%)

BEIJING: Iron ore futures fell on Wednesday, as disappointing credit data from top consumer China worsened sour market sentiment already dampened by diminishing demand and high supply.

The most-traded January iron ore contract on China’s Dalian Commodity Exchange (DCE) traded 2.51% lower at 719 yuan ($100.61) a metric ton, as of 0230 GMT.

The contract hit its lowest since Aug. 10, 2023 at 715 yuan a ton earlier in the session.

The benchmark September iron ore on the Singapore Exchange hovered below the key psychological level of $100 a ton for a fifth straight session, down 1.18% to $97.4 a ton, the lowest since April 8.

China’s bank lending tumbled more than expected in July, hitting the lowest in nearly 15 years, official data showed on Tuesday, dragged down by tepid credit demand and seasonal factors.

“The credit data in July remained weak, weighing on sentiment … hot metal output showed signs of further declines given that many mills are suffering loss,” analysts at Everbright Futures said in a note.

Iron ore slides as soft China demand heightens supply pressure

Analysts at GF Futures expected hot metal output to fall byup to 20,000 tons this week.

China’s iron ore demand in 2024 will shrink by 33.4 million tons, Jia Yanlin, the director of the research institute of China Mineral Resources Group (CMRG), was cited as saying by a state-backed media.

CMRG was established in July 2022 to enhance Beijing’s iron ore pricing power and ensure a secure supply chain for some key mineral resources.

Jia forecast ore supply to China this year to increase by 71 million tons from the year earlier, and China’s steel exports to hover 90 million tons, similar to the levels seen in 2023.

Other steelmaking ingredients on the DCE retreated to more than one-year lows, with coking coal and coke down 2.36% and 1.4%, respectively.

Steel benchmarks on the Shanghai Futures Exchange slid further. Rebar fell 1.84%, hot-rolled coil lost 1.97%, wire rod slipped 2.11% and stainless steel shed 0.77%.

Comments

Comments are closed.