Iron ore futures soar

The benchmark February iron ore on the Singapore Exchange was 2.01% higher at $131.55 a ton, as of 0724 GMT, also the highest since Jan. 12.

China will take more forceful and effective measures to support market confidence, state media CCTV reported on Monday, citing a cabinet meeting, following a plunge in Chinese shares. Meanwhile, China’s major state-owned banks took action on Monday to bolster the yuan and prevent it from falling too rapidly, Reuters reported.

This move came after Beijing kept benchmark lending rates unchanged at its monthly fixing on Monday, following last week’s decision to hold its medium-term lending facility rate steady, reflecting Beijing’s limited room for monetary easing amid pressure on the yuan. Beijing has set a growth target of around 5% for 2024, surpassing last year’s goal of above 4.5%, despite expectations of slower growth for the economy.