MANILA: Prices of iron ore, steel and steelmaking ingredients in China slumped on Thursday, as risk sentiment was hit after the US Federal Reserve signalled another rate hike by year-end and tighter monetary policy through 2024.

Traders at the same time opted to wait for details of China’s pledge to expedite the rollout of more policies to consolidate its economic recovery, while the country’s troubled property sector kept them guarded.

The most-traded January iron ore on China’s Dalian Commodity Exchange ended daytime trade 1.9% lower at 854 yuan ($116.93) per metric ton, after advancing in the last two sessions.

On the Singapore Exchange, the steelmaking ingredient’s benchmark October reference price fell as much as 3.4% to hit $117.70 per ton, after holding ground above $120 for several days.

China, the world’s top steel producer and metals consumer, will speed up introduction of more policies to consolidate its economic recovery, state media CCTV reported on Wednesday, citing a cabinet meeting chaired by Premier Li Qiang.

Iron ore extended its rally this month, after solid gains in August buoyed by China’s economic stimulus efforts, but the momentum seems to have lost steam.

While there were reports about additional policy support for China’s property developers at local government levels, analysts said the overall sentiment remains cautious.