Aug 4 (Reuters) - Dalian and Singapore iron ore futures slumped to one-week lows on Thursday, pressured by worries about an unsustainable demand recovery in top steel producer China and prospects of increased supply.
On China's Dalian Commodity Exchange, the steelmaking ingredient's most-traded January contract DCIOF3 ended daytime trade 5.2% lower at 688.50 yuan ($101.96) a tonne, after touching its weakest since July 28 at 688 yuan.
Iron ore's front-month September contract on the Singapore Exchange SZZFU2 fell 2.5% to $107.20 a tonne, down for a fifth session.
China's troubled property sector, COVID-19 curbs, decarbonisation goals that entail steel production cuts, and increased Sino-U.S. tensions over Taiwan all weighed on sentiment, analysts said.
Construction steel rebar SRBcv1 on the Shanghai Futures Exchange fell 2.9%, while hot-rolled coil SHHCcv1 shed 2.4%. Stainless steel SHSScv1 rose 0.4%.
"Iron ore lacks continuous upward momentum," analysts at Zhongzhou Futures said in a note, despite rebounding steel margins in China that had fuelled a recent rally.
US employment data falls short of expectations, aluminium ingot continues destocking trend this week
