MANILA: Dalian and Singapore iron ore futures dipped on Tuesday, hovering around their lowest levels in nearly three weeks, as rising portside inventory in China weighed on prices already pressured by weak demand prospects.

The most-traded iron ore, for May delivery, on China’s Dalian Commodity Exchange fell as much as 1.1% to 837 yuan ($123.41) a tonne. On the Singapore Exchange, the steelmaking ingredient’s benchmark March contract was down 1.3% at $121.70 a tonne, as of 0435 GMT.

Imported iron ore stocked at Chinese ports was estimated at 136.5 million tonnes as of Feb 3, the biggest inventory since early December, SteelHome consultancy data showed.

“Rising iron ore inventory and steel products are reflecting weaker Chinese demand post the (Lunar New Year) holiday, with reopening now expected to impact the consumer more than construction/housing activity,” Westpact analysts said in a note.

Policymakers in top steel producer China plan to further boost support for domestic demand this year but are likely to stop short of splashing out big on direct consumer subsidies, Reuters reported, citing sources close to policy discussions.

Meanwhile, analysts said latest Chinese property market indicators were disappointing, despite government support to revitalise the ailing sector that accounts for a sizeable portion of domestic steel demand.

“Top 30 cities property sales were massively lower compared to January last year and also lower than same CNY holiday period in 2022. January existing home sales in Shanghai were also poor,” commodities broker Marex said in a note. “So we are seeing a very slow recovery in China’s housing market so far.”