Asian iron ore prices are set to continue to face downward pressure from Chinese steel output curbs and power shortages in the fourth quarter after a dramatic price correction in Q3.
The iron ore index IODEX fell 46% in Q3 as widespread steel output curbs in China forced mills to resell contracted iron ore volumes, flipping the market into oversupply. However, different types of ore fared differently in the falling market, not only due to their own supply-demand dynamics but also external factors such as surging coke prices in China.
