China moves to cool rally as iron ore prices explode

China’s commodity exchanges on Monday moved to raise trading limits and margin requirements for some iron ore contracts and reinstated fees on steel futures as a blistering rally in the ferrous metals complex showed no signs of abating.

Benchmark 62% Fe fines imported into Northern China (CFR Qingdao) hit a new high on Monday, changing hands for $230.56 a tonne, up 8.62% from Friday session, according to Fastmarkets MB.
The high-grade Brazilian index (65% Fe fines) also advanced to a record high of $263.00 a tonne.

The Dalian Commodity Exchange said it would raise trading limits and margin requirements for iron ore contracts for delivery in June, September, October and December, as well as for January-April 2022 from the May 11 trading day, without providing figures.