Iron ore futures held around CNY 715 per tonne on Monday, hovering near a one-month high amid expectations of resilient near-term demand from top consumer China. Industry data continued to signal robust steel production activity, with hot metal output and average blast furnace capacity utilization remaining elevated.
Supporting the bullish tone, total iron ore inventories at Chinese ports fell to 133.6 million tons, while steel stockpiles declined for the seventh consecutive week—suggesting steady downstream consumption. However, broader macroeconomic concerns persisted. Official data showed that China’s manufacturing sector contracted for a third straight month in June, weighed down by intensifying price competition, weak consumer demand, and higher US tariffs. The ongoing property crisis and uncertainty surrounding US-China trade relations further clouded the outlook.
