Chinese iron ore futures fell for a fourth consecutive session, down more than 5 percent to their lowest level in nearly three weeks, on prospects of more imports of the steelmaking ingredient and as demand eased on the government's decision to cut production, Reuters reports.
"The government has a relatively strong determination to control steel output this year, which could affect demand for raw materials," Li Wentao, an analyst with Tianfeng Futures, said.
Meanwhile, China's imports of iron ore are seen to increase this month, leaving possibilities for an oversupply, Li added.
The most-traded iron ore futures on the Dalian Commodity Exchange, for September delivery, plunged by 5.1 p ercent at 1,141 yuan (US$176.49) per ton. They were down by 4.2 percent, as of 0240 GMT.
Spot prices of iron ore with 62 percent iron content for delivery to China fell US$4 to US$217.5 a tonne on Wednesday, data from SteelHome consultancy showed.
Dalian coking coal slipped by 0.6 percent at 2,072 yuan per ton and coke futures dipped by 0.5 percent at 2,722 yuan a ton.
Production of LME deliverable KAS-branded aluminium at Kazakhstan’s Eurasian Resources Group has reached the four-million-tonnes milestone
