Iron ore has bounced

Photo by Will Russell/AFL Media/Getty Images

Iron ore spot markets bounced on Thursday after four days of heavy losses.

The spot price for benchmark 62% fines jumped by 1.6% to $86.36 a tonne, according to Metal Bulletin, trimming its decline so far this week to 6.5%.

It previously fell by 4.3% and 3% in the prior two sessions.

The gains across other grades were far smaller in scale, particularly for 58% fines where its price edged up by just 0.14% to $58.36 a tonne.

Mirroring the selloff earlier in the week, the bounce corresponded with a steadying in Chinese steel markets.

“China’s spot rebar prices were mixed on Thursday, with those in the eastern region getting a boost from a recovery in the futures and billet markets, while those in the north fell as traders pursue volumes,” said Metal Bulletin.

In overnight trade, Chinese iron ore futures edged higher, closing trade up 0.34% at 586 yuan per tonne. Rebar futures traded separately in Shanghai added 1.19%, finishing at 3,240.

SHFE Rebar ¥3,240 , 1.19%
DCE Iron Ore ¥586.00 , 0.34%
DCE Coking Coal ¥1,201.00 , 1.05%
DCE Coke ¥1,670.50 , 1.33%

Trade in Chinese commodity futures will resume at midday AEDT.

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.