The iron ore price rose on Tuesday after China cut benchmark lending rates and lowered the mortgage reference by a bigger margin in a move to support its property market.
According to Fastmarkets MB, benchmark 62% Fe fines imported into Northern China were changing hands for $102.18 a tonne Tuesday morning, up 1.8%.
China’s property market crisis is testing whether central bank Governor Yi Gang can stick to his stimulus-lite strategy.
Over the past couple of weeks, Yi has cut key lending rates, announced special loans to struggling property developers via policy banks, and urged state-owned lenders to extend more credit. Meantime, speculation of a cut to reserve requirement ratios grows.
China’s real-estate slump, however, shows little sign of improvement.
US employment data falls short of expectations, aluminium ingot continues destocking trend this week
