"However, a gradual rollout means we would probably see more lacklustre demand growth, which could push the iron ore market back into surplus, weighing on prices," they said in a note.
Nickel, used in stainless steel, has gained 13% in the Shanghai bourse this year, while LME nickel has risen around 23% on strong demand from Chinese stainless steel producers and a supply crunch due to an Indonesian export ban.
The Trump administration proposed a $916-billion pandemic relief package on Tuesday, while the United Kingdom became the first country to begin mass-vaccinating its people using a fully-tested COVID-19 shot.