Iron Ore Sinks Toward Test of $100 as Plenum Fails to Inspire

The steelmaking material fell as much as 2.4% to $101 in Singapore, with futures on track for a third day of losses. The outcome of the Third Plenum, a twice-a-decade conclave of Communist Party officials held last week, underwhelmed investors, with few steps to boost metals demand or fix the property crisis.

On the supply side, data from Brazil — the largest iron ore exporter after Australia — showed daily average shipments reached 1.62 million tons in the first 15 business days of July, a faster pace than in the full month a year ago. Last week, major miners reported record levels of production.

Iron ore has collapsed by more than a quarter this year, and is one of the worst performing major commodities. The material — which dipped briefly below $100 in both March and April — has been dragged lower by signs that the global seaborne market is in surplus, with stockpiles at ports ballooning.