SINGAPORE: Iron ore futures prices traded within a narrow range on Thursday, as traders weighed new stimulus measures against softer consumption data from top consumer China.

The most-traded May iron ore contract on China’s Dalian Commodity Exchange (DCE) edged 0.53% higher at 754.5 yuan ($102.92) a metric ton, as of 0317 GMT.

The benchmark February iron ore on the Singapore Exchange was 0.73% higher at $97.15 a ton. China has expanded the scope of a consumer goods trade-in scheme in an effort to boost subdued domestic demand, according to an official policy document released Wednesday. Beijing’s latest stimulus measures stirred some optimism for the revival of domestic demand.

“There is...some good news...Recent policy communication suggests that there will be a greater focus on supporting consumption this year,” ING analysts said in a note. Still, industrial metals have had a muted start to 2025 amid geopolitical tensions, the uncertain path for China’s economic recovery and rising protectionism, ING analysts said in a separate note.

Official data on Thursday showed domestic consumer inflation slowed in December while factory-gate deflation extended into a second year, amid sputtering economic data.

A combination of job insecurity, a prolonged housing downturn, high debt and tariffs threats from US President-elect Donald Trump has hit demand, even as Beijing ramps up stimulus to revive its consumer sector.