SINGAPORE: Dalian iron ore futures rose to their highest in more than two weeks on Monday, buoyed by stronger global steel production and further monetary stimulus from top consumer China.

The most-traded January iron ore contract on China’s Dalian Commodity Exchange (DCE) ended morning trade 0.06% higher at 775.5 yuan ($107.06) a metric ton.

The contract had earlier risen as high as 791.0 yuan, its strongest since Nov. 8. The benchmark December iron ore on the Singapore Exchange was 0.72% higher at $101.3 a ton, as of 0415 GMT. Global crude steel output in October climbed 0.4% from the previous year to hit 151.2 million tons, World Steel Association data showed on Friday. In China, the world’s top metals producer and consumer of the metal, crude steel production rose 2.9% to 81.9 million tons over the same period, the data showed.

Lower Chinese steel product inventory driven by robust exports also supported iron ore prices above $100 a ton, Westpac analysts said in a note. Meanwhile, China’s central bank injected 900 billion yuan ($124.3 billion) into its banking system on Monday via one-year policy loans.

China’s banking system is facing increasing liquidity pressure toward the end of the year, with local governments increasing bond issuance as Beijing ramps up efforts to reduce debt risks and stimulate the struggling economy.

The world’s second-largest economy could also face nearly 40% tariffs on its exports to the US next year, said economists polled by Reuters, potentially slicing growth by up to 1 percentage point.

Other steelmaking ingredients on the DCE lost ground, with coking coal and coke down 2.11% and 1.06%, respectively. Steel benchmarks on the Shanghai Futures Exchange ticked lower. Rebar and hot-rolled coil dropped nearly 0.5%, wire rod dipped about 0.1% and stainless steel slid 0.06%.