Chinese iron ore futures are ripping higher

Steve Finn/Getty Images

Having jumped by 2% on Monday, spot iron ore prices may be about to head significantly higher.

The most-actively traded September 2015 contract on the Dalian Commodities Exchange has surged 3.66% on Tuesday, rising 15.5 yuan to 439 yuan.

Having hitting a closing low of 381 yuan back on April 13, the contract has now risen by 15.2%.

On Monday the Chinese government announced an ambitious plan to build more than 1,000 infrastructure projects with the help of the private sector.

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at