Yellow ore futures with a 62% iron content fell 12% in trading in Singapore on Monday, but then quickly cut the drop to 6% and are trading at $95.6 a tonne. BHP Group, Rio Tinto and Fortescue Metals fell 4.2%, 3.6% and 3.7%, respectively, in Sydney trading. Yellow ore prices have fallen 60 percent from record highs recorded in May and are below $100 a tonne for the first time in more than a year.

 China, the world's largest steelmaker, requires local companies to limit production in order to reduce emissions. The country has set a goal of achieving carbon neutrality by 2060, and is also seeking to improve air quality in time for the Winter Olympics, which will be held in Beijing in 2022. As a result, steel production in China in August fell to its lowest level for 17 months and continued to decline in September, according to Bloomberg. In this case, experts note the possible decline in demand for steel in China amid deterioration in the real estate market as a result of financial problems of a major real estate developer China Evergrande Group.

According to Chinese consulting company Mysteel, steel mills in Jiangsu province were ordered to reduce steel production until October 15, in Zhejiang province - until September 30. "We expect another decline in China's weekly steel production, which will put pressure on the price of iron ore," says Navigate Commodities managing director Atilla Widnell. Widnell notes that iron ore export volumes from Australia and Brazil remain strong. Navigate Commodities' short-term forecast for the value of yellow ore is $94.41-$98.28 per ton.

 

Source: http://www.fixygen.ua/news/20210920/tceny-na-zheleznuyu.html