China’s iron-ore rallies 6%, strongest since March 2017
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Having booked nearly 7% gains on Friday, iron-ore futures on China’s Dalian Commodity Exchange (DCE) rallied another 6% so far this Monday, hitting the highest levels since March 2017.
The recent upsurge in the ferrous metal is mainly driven by strengthening demand from steelmakers, who eye high-grade ore to boost output and continue cashing in on firm demand for the building material from China.
Additionally, the latest data tracked by SteelHome showed that stockpiles of imported iron ore at China’s ports dropped to 135.2 million tonnes on Friday from 137 million tonnes last week, further collaborated to the bullish streak seen in iron-ore prices.
The most-traded iron ore on the DCE is up nearly 6% to trade around $ 92.20 levels per tonne, having gained 14% last week. Meanwhile, higher iron-ore prices serve as a positive input for the resource-linked Aussie, keeping the rates underpinned above 0.7900 levels.
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