28.10.202614:22:10UTC+00Iron Ore Rebounds from 4-Year Low

Iron ore futures rebounded to above CNY 670 per ton after hitting a four-year low of CNY 664 on October 27, as the gradual return of steelmaking capacity offered some support despite persistent concerns about increasing supply. Hot metal production, a key gauge of iron ore demand, fell by 89,900 tons week-on-week to 1.75 million tons in the week ending October 24, mainly due to blast furnace maintenance. Output is expected to decline further before recovering once furnaces come back online. Still, the anticipated improvement in production is likely to provide only limited price support, as steel mills remain in loss-making territory and steel demand stays weak. On the supply side, iron ore arrivals at Chinese ports are projected to rebound after typhoon-related weather disruptions along the eastern coast curtailed deliveries last week. Although global shipments eased slightly, they remained seasonally elevated, heightening the risk of a buildup in port inventories and keeping prices under pressure in the near term.