The top-traded September iron ore contract on China's Dalian Commodity Exchange DCIOcv1 closed at 841.5 yuan/ton ($117.79), up 0.5% after two sessions of decline.
On the Singapore Stock Exchange, September iron ore SZZFU3 rose 0.9% to $107.6/mt, up 0.9% as of 0710 GMT, after another two-session decline.
China's State Council has issued measures to restore and expand consumption in the automobile, real estate, and service industries, aiming to fully embody the "fundamental role" of consumption in economic development.
China's largest cities, including Beijing and Shenzhen, said over the weekend they would implement measures to better meet home buyers' needs, without giving details, aimed at supporting a real estate sector that has seen little sign of recovery.
Manufacturing activity in China, the world's second-largest economy, fell for the fourth consecutive month in July, albeit more slowly, reinforcing the need for more policy support to stimulate domestic demand.
Experts: “We think that there will be a surplus in the market as steel production controls increase and purchases decrease; Meanwhile, we expect iron ore supply to remain relatively stable in the second half of 2023.”
Steel mills in southwestern China's Yunnan province have been asked to prepare for production cuts to meet the government's mandate to keep 2023 production at last year's level.
On the Shanghai Stock Exchange; the most active rebar contract SRBcv1 rose 0.2%, hot rolled coil SHHCcv1 decreased 0.2%, wire rod SWRcv1 increased 1.2% and stainless steel SHSScv1 increased 1.0%.