Iron Ore Nudges Higher in Dalian as Steel Output Firms and Policy Hopes Linger

Overview

• The most-traded January iron ore on the Dalian Commodity Exchange rose 0.26% to 772.5 yuan a ton, marking a third straight daily gain.
• Singapore’s December benchmark slipped 0.33% to $102.45 a ton, underscoring divergence between onshore and offshore pricing.
• Mysteel reported average daily hot-metal production up 1.1% week on week to 2.37 million tons in the week of Nov. 13, signaling firm near-term demand.
• Analysts said both benchmarks were up about 1% on the week, with sentiment supported by expectations for potential stimulus signals at the late-December Politburo meeting.
• Nanhua Futures highlighted sharply lower metallurgical coal costs and reduced shipments as near-term supports, while ample port inventories and seasonal winter slowdowns could heighten price volatility.