Iron Ore Powers Above $60 as Steel Rally in China Spurs Demand
- Trade responding to lift in China steel production, Price says
- Additions to mine supply in 2016 may cap upside, Price says
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Iron ore extended a rally above $60 a metric ton as steel prices in China surged amid a drawdown in product inventories, bolstering demand for the raw material as plants step up output in the top producer.
Ore with 62 percent content delivered to Qingdao climbed 4.1 percent to $62.85 a dry ton on Tuesday, the highest price since March 8, according to Metal Bulletin Ltd. The gain follows a 3.6 percent jump on Monday and takes this year’s gain to 44 percent.