Saturday, June 10, 2023
HomeHeadlinesDalian iron ore dips in wobbly session on demand worries


To our FREE newsletter
Get all the latest maritime news delivered straight to your inbox.

Dalian iron ore dips in wobbly session on demand worries

Dalian iron ore fell in seesaw trade on Wednesday, as worries about future demand for the steelmaking ingredient in China outweighed reports of COVID-19 curbs being eased in some areas in the world’s top steel producer.

The most-traded September iron ore on China’s Dalian Commodity Exchange ended daytime trading 1.8% lower at 898 yuan ($140.07) a tonne.

On the Singapore Exchange, iron ore’s most-active May contract also swung between losses and gains. It was up 0.2% at $151 a tonne by 0739 GMT.

“There was some initial disappointment in early trading to the unchanged loan prime rate,” said Atilla Widnell, managing director at Navigate Commodities in Singapore.

China surprisingly kept its benchmark lending rates steady on Wednesday, with markets seeing the move as Beijing’s cautious approach to rolling out more easing measures as the economy slows due to COVID-19 lockdowns.

“However, thick and fast news flow on easing epidemic control measures in Jilin and Shandong provinces, and further mortgage and deposit rate cuts in a Beijing district have buoyed markets,” Widnell said.

Still, overall sentiment remained shaky as China has vowed to produce less crude steel this year than in 2021. Last year’s output was kept below the 2020 volume, in line with the country’s goal to reduce carbon emissions.

Also, several districts in Tangshan city – China’s steel production hub – have been placed again under lockdown tentatively for three days from Tuesday, highlighting the risks of a recurring outbreak.

And while traders expect more policy easing will be rolled out in the coming months, “the probability of introducing supplementary fiscal stimulus and more aggressive rate cuts remains low”, J.P.Morgan economists said in a note.

Construction steel rebar on the Shanghai Futures Exchange climbed 0.8%, while hot-rolled coil gained 0.4%. Stainless steel lost 1.7%.

Dalian coking coal DJMcv1 shed 4% and coke slumped 3.2%.

Source: Reuters

Related Posts


Finance & Economy
Shipping News

Trafigura publishes 2023 interim results showing a strong performance

Trafigura, a market leader in the global commodities industry, released its 2023 Interim Report today for the six-month period ended 31 March 2023. The results...

Globus Q1 results hit by weak dry bulk market

Globus Maritime Limited, a dry bulk shipping company, reported its unaudited consolidated operating and financial results for the quarter ended March 31, 2023. Revenue $8.6 million...

BW LPG appoints new CFO

BW LPG announced that it has appointed Ms Samantha Xu as Chief Financial Officer (CFO), effective 1 September 2023. Ms Xu has over 20 years...

Frontline Posts Highest First Quarter Results Since 2008

Frontline plc reported unaudited results for the three months ended March 31, 2023: Highlights Highest first quarter profit since 2008 of $199.6 million, or $0.90 per...

Diana Shipping posts slightly lower Q1 profit; takes out $123m in loans

Diana Shipping reported net income of $22.7 million and net income attributed to common stockholders of $21.3 million for the first quarter of 2023....

Celestyal Participates In Promotion Of The Tourist Destination Of Central Macedonia

Celestyal, the award-winning, number one choice for travellers to the Greek Islands and the...

Capesize, panamax gains drive Baltic index higher

The Baltic Exchange’s main sea freight index rose for a fourth straight session on...

Baltic rises to over 3-month peak on firm demand for larger vessels

The Baltic Exchange’s main sea freight index rose on Wednesday to scale its highest...

Baltic index logs best day in nearly 3 months

The Baltic Exchange’s main sea freight index posted its biggest single-day gain since mid-March...

Taiwan Shipping Firms Set to Hand Out Bumper Bonuses Again

Taiwanese shipping companies are handing out bumper mid-year bonuses despite a slump in global...

Iraklio port tender set for another delay

The opening of the binding financial offers for 67% of Iraklio Port Authority had been scheduled for Thursday, but this is no longer expected...

APM Terminals extends concession of Kalundborg container terminal

APM Terminals has reached an agreement with the Port of Kalundborg to extend the concession of Kalundborg container terminal by 10 years to 2033. In...

US West Coast port workers shut terminals in showdown over pay

The employers of more than 22,000 dock workers at U.S. West Coast seaports on Friday said the union representing those laborers “is staging concerted...

DP World Completes Terminal Expansion Project Vancouver Port

DP World has completed the AED954 million ($259.78 million) Centerm expansion project, increasing container throughput at the Port of Vancouver by 60 percent. The terminal...

DP World completes AED 954 million Vancouver port expansion

DP World and the Vancouver Fraser Port Authority have celebrated two historic events – the completion of the Centerm Expansion Project at DP World...