Iron ore futures in China fell as the crisis in the real estate sector increased. A Hong Kong court on Monday ordered the liquidation of real estate giant China Evergrande Group, sending China's real estate market back into turmoil.
China's major southern city, Guangzhou, has relaxed home-buying limits under some conditions, aiming to increase the supply of affordable housing to support the local real estate market.
According to information received from the market, the Central Bank of China cut its remaining reserves last week.
The most-traded May iron ore contract on the Dalian Commodity Exchange (DCE) fell 1.76% in daytime trading, ending at 979.5 yuan ($136.46) per metric ton. Additionally, coking coal DJMcv1 decreased by 2.21% and coke by 2.54%.
The March iron ore benchmark on the Singapore Exchange fell 1.94% to $132.8 per tonne, its lowest level since January 24.
The lack of demand and low raw material prices on the Shanghai Futures Exchange also caused prices to fall. Rebar fell 1.39%, hot rolled coil fell 1.39%, wire rod fell 1.13% and stainless steel fell 0.88%.
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