Platts IODEX plunges most in 20 months on bearish Asian seaborne market

Platts IODEX has been on a downtrend since the beginning of the year, dipping below the $110/dmt CFR China mark March 11, S&P Global Commodity Insights data showed.

The iron ore benchmark price fell to $108.40/dmt March 11 from a lofty $143.20/dmt CFR Qingdao Jan. 2, S&P Global data showed. The index dropped $8.25/dmt on the day March 11, the most since July 14, 2022, when it lost $9.15/dmt in a single trading session.

"We think IODEX will average $128/dmt in Q1," said analysts at S&P Global.

On March 9, China's Minister of Housing and Urban-Rural Development said that companies that are unable to operate should file for bankruptcy, if necessary, in response to the country's struggling property sector, with several major players defaulting on their debt back in 2023.

"Sentiment around housing and property are just way too bad, I don't see why iron ore is on such a bad position, but [the] fact remains, it is," said an international iron ore trader.