Steel Market Update

Advisory Bazaar Info Services

Iron Ore Near One-Month Low as Chinese Steelmakers Focus on Production Discipline

* Iron ore prices declined for the sixth consecutive session, reaching a near one-month low.

* The most-traded iron ore contract on the Dalian Commodity Exchange fell 0.28% to 706 yuan/ton.

* The benchmark iron ore price on the Singapore Exchange declined 0.2% to $95.25/ton, after touching a low of $95.05.

* The China Iron and Steel Association (CISA) and 45 major steelmakers recommended production controls to manage elevated inventories and improve market conditions.

* The Chinese steel industry continues to face strong supply, weak demand and pressure on profitability amid rising production costs.

* Coking coal declined 0.28%, while coke fell 0.46%.

* On the Shanghai Futures Exchange, rebar gained 0.61%, while stainless steel declined 1.29%.

Market Focus: Expectations of supply management by Chinese steelmakers, along with weakening demand prospects for steelmaking raw materials, continue to weigh on iron ore and related commodity prices.