The iron ore market has experienced significant growth from September 30 to October 7, 2024, driven by new economic stimulus measures from China, particularly aimed at the construction sector.
Prices for iron ore futures on the Dalian Commodity Exchange stabilized at CNY 821.5/ton, while November futures on the Singapore Exchange saw a slight decline.
The Chinese government's initiatives, including lower down payment requirements and favorable loan terms, have boosted demand for steel and iron ore. However, investors remained cautious due to ongoing challenges in the Chinese economy, particularly high developer debt, which could affect future demand.
Analysts predicted iron ore prices could range from US$90-100/ton by the end of 2024, with some forecasts suggesting a drop to as low as US$60-80/t in a worst-case scenario.