Iron-ore sinks deeper as gloom grips ferrous market
Iron-ore's losses deepened on Thursday, with the benchmark price of the steelmaking ingredient in Singapore hitting a fresh 2022 low, hammered by a gloomy outlook for global steel demand and supply-side pressures.
Steel prices in China, which accounts for about half the world's output of the construction and manufacturing material, also fell amid a worsening Covid-19 situation in Beijing.
The most-traded January iron-ore on China's Dalian Commodity Exchange ended daytime trade 3.1% lower at 667 yuan ($92.27) a tonne, after touching its weakest since Sept. 5 at 664 yuan.
On the Singapore Exchange, the benchmark November iron-ore contract tumbled up to 2.8% to $89.50 a tonne, a new low for this year.
The World Steel Association now expects a 2.3% contraction in global steel demand this year, revising its forecast from a 0.4% growth.
The Brussels-based group said the global economic environment has deteriorated significantly, citing high inflation and interest rate hikes, and China's slowdown due to its zero-Covid policy and property sector downturn.
"The slump in the property market has deepened, with investment in real estate slowing to its worst in 30 years," the group said in a report on Wednesday.
"Despite the government's efforts to boost the real estate market, a major turnaround is not expected since buyers' confidence remains weak due to strict Covid-19 measures and developer bankruptcies."
Comments
The
content
you are trying to access is only available to subscribers.
If you are already a subscriber, you can Login Here.
If you are not a subscriber, you can subscribe now, by selecting one of the below options.
For more information or assistance, please contact us at subscriptions@creamermedia.co.za.
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation