Dalian Iron ore futures drift lower

The most-traded May iron ore on China’s Dalian Commodity Exchange was down 0.4% at 849.50 yuan ($124.68) a tonne, as of 0300 GMT.

On the Singapore Exchange, iron ore’s most-active March contract slipped by up to 0.4% to $119.90 a tonne, before bouncing back above $120. Iron ore prices have rebounded from a November low below $90 a tonne, as China’s stepped-up policy support for its ailing property sector and dismantling of strict COVID-19 restrictions spurred expectations of demand recovery this year.

China, which produces more than half of the world’s steel output, buys about two-thirds of iron ore supplies.