Iron ore prices were hammered on Friday, corresponding with another plunge in Chinese futures.
And it looks like there may be further declines to come.
According to The Steel Index, the spot price for 62% fines slid 2.8%, closing the session at $76.10 a tonne. It now sits at the lowest level seen since November 30.
Price for lower grade ore also softened, albeit to a lesser degree.
Analysts at the group said the decline came as market activity picked up.
It also corresponded with the iron ore exports from Australia’s Port Hedland, the world’s largest iron ore loading terminal, which jumped to the highest level on record during December.
And with Chinese futures falling again in Friday evening, it looks like there may be further declines to come in spot markets on Monday.
The most actively traded May 2017 iron ore future on the Dalian Commodities Exchange fell by a further 1.37%, closing the session down at 539.5 yuan.
Rebar futures also declined, slipping 1.09%.
Trade in Chinese commodity futures will resume at Midday AEDT.
- SHFE Rebar ¥2,911 , -1.09%
- DCE Iron Ore ¥539.50 , -1.37%
- DCE Coking Coal ¥1,158.00 , 0.13%
- DCE Coke ¥1,521.00 , -0.46%