Iron-ore outlook clouded by global demand woes, supply risks

Price forecasts for the key steelmaking ingredient range from about $90 a tonne to a high of $115 by the end of the year, a Reuters survey of five analysts and researchers shows.

Year-end prices have not been in this territory since the 2019 figure of $93 a tonne, itself off the even lower 2018 level of $72.60, data from consultancy SteelHome shows.

"Covid-19 and property sector slowdown continue to weigh down steel demand in China," said Malan Wu, research director at consultancy Wood Mackenzie.

"Prices in Western countries will remain subdued for the rest of the year because of weak demand, high inflation, and fears of recession."

Spot prices of-ore bound for China, maker of about half the world's steel, have fallen roughly 40% from this year's peak above $160 in March, as it sticks to tough Covid-19 curbs and its property sector battles a liquidity crunch and weak demand.