Chinese iron ore futures ripped higher overnight

Photo by Matt Stroshane/Getty Images

Spot iron ore markets rose fractionally on Wednesday, but there could be far greater gains to come.

The price for benchmark 62% fines rose by 0.18% to $55.87 a tonne, according to Metal Bulletin, leaving its year to date gain at 28.2%.

There were also small gains recorded in lower grade ore, mirroring the gain in the benchmark price.

While spot markets were quiet on Wednesday, that wasn’t the case in futures trade overnight — prices soared.

The most actively traded January 2017 iron ore futures contract on the Dalian Commodities Exchange finished trade at 407 yuan, up 2.26% for the session.

Trade in Dalian will resume at 11am AEST.

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