As predicted by Dalian iron ore futures, the spot iron ore price jumped higher on Monday.
According to Metal Bulletin’s iron ore index the spot price for 62% fines jumped by $1.73, or 3.41%, to $52.39 a tonne.
Having plummeted to a record-low level of $44.59 on July 8, the spot price has now increased by 17.5% in just seven trading sessions. At $52.39, the price is also at the highest level seen since July 3.
There was no specific reason to explain the sudden price surge although Metal Bulletin notes that Monday “was a particularly active day on the physical spot market with several transactions concluded on the COREX and Globalore platforms”.
Overnight Dalian iron ore futures jumped by a further 2.65% to 368 yuan, suggesting further gains for the spot price may arrive this evening should futures maintain their gain today.