AGL 38.95 Increased By ▲ 0.47 (1.22%)
AIRLINK 201.02 Decreased By ▼ -2.00 (-0.99%)
BOP 10.09 Decreased By ▼ -0.08 (-0.79%)
CNERGY 6.46 Decreased By ▼ -0.08 (-1.22%)
DCL 9.48 Decreased By ▼ -0.10 (-1.04%)
DFML 39.80 Decreased By ▼ -0.22 (-0.55%)
DGKC 98.80 Increased By ▲ 0.72 (0.73%)
FCCL 35.41 Increased By ▲ 0.45 (1.29%)
FFBL 87.00 Increased By ▲ 0.57 (0.66%)
FFL 13.75 Decreased By ▼ -0.15 (-1.08%)
HUBC 130.98 Decreased By ▼ -0.59 (-0.45%)
HUMNL 13.87 Decreased By ▼ -0.15 (-1.07%)
KEL 5.52 Decreased By ▼ -0.09 (-1.6%)
KOSM 7.41 Increased By ▲ 0.14 (1.93%)
MLCF 46.02 Increased By ▲ 0.43 (0.94%)
NBP 61.50 Decreased By ▼ -4.88 (-7.35%)
OGDC 222.01 Increased By ▲ 1.25 (0.57%)
PAEL 39.00 Increased By ▲ 0.52 (1.35%)
PIBTL 8.75 Decreased By ▼ -0.16 (-1.8%)
PPL 198.51 Increased By ▲ 0.63 (0.32%)
PRL 39.03 No Change ▼ 0.00 (0%)
PTC 25.71 Increased By ▲ 0.24 (0.94%)
SEARL 106.31 Increased By ▲ 3.26 (3.16%)
TELE 8.95 Decreased By ▼ -0.07 (-0.78%)
TOMCL 36.55 Increased By ▲ 0.14 (0.38%)
TPLP 13.98 Increased By ▲ 0.23 (1.67%)
TREET 24.85 Decreased By ▼ -0.27 (-1.07%)
TRG 58.00 Decreased By ▼ -0.04 (-0.07%)
UNITY 33.51 Decreased By ▼ -0.16 (-0.48%)
WTL 1.70 Decreased By ▼ -0.01 (-0.58%)
BR100 11,939 Increased By 48.5 (0.41%)
BR30 37,318 Decreased By -38.9 (-0.1%)
KSE100 110,506 Decreased By -564 (-0.51%)
KSE30 34,694 Decreased By -215.2 (-0.62%)

MANILA: Iron ore futures dipped on Thursday, with the Dalian benchmark hitting a three-week low, as hopes faded for China to relax its stringent zero-Covid policy, while waning demand for the steelmaking ingredient dragged spot prices to an 11-month low.

Signals that Beijing will stick with its draconian measures to control Covid outbreaks after a pivotal Communist Party congress beginning Oct. 16 weighed on futures markets.

Market participants are closely watching how China will address challenges facing its economy, including a downturn in the property sector.

Ahead of the party meeting, the world’s top steel producer ramped up Covid testing, extended quarantine times and closed some public spaces, as infections rose. In Hebei, China’s top steel-producing province, mills were asked to cut sintering operations by as much as 50% to improve air quality during the meeting, according to reports.

The most-traded January iron ore on China’s Dalian Commodity Exchange fell as much as 1.7% to 701.50 yuan ($97.75) a tonne, its lowest since Sept. 22. On the Singapore Exchange, benchmark November iron ore dropped 0.9% to $92.95 a tonne.

Spot 62%-grade iron ore settled at $95.50 a tonne on Wednesday, SteelHome consultancy data showed, the weakest since November 2021. Other steelmaking ingredients also remained under pressure. Dalian coking coal and coke slipped 0.1% and 0.2%, respectively.

Ferrous metals on the Shanghai Futures Exchange were somewhat supported. Rebar dipped 0.1%, while both hot-rolled coil and wire rod gained 0.2%, and stainless steel climbed 0.5%.

“We should not be overly pessimistic about finished products,” Huatai Futures analysts said in a note, pointing out that reduced steel production could eventually help prop up prices.

“In the short term, we will be dominated by macroeconomic factors and increased uncertainties (but will) maintain a relatively neutral view,” they said.

Comments

Comments are closed.