Iron Ore Battered to Three-Month Low as China Concerns Escalate

  • ‘Post-holiday demand is still not strong,’ SDIC analyst says
  • Futures retreat despite record cut to mortgage reference rate
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Iron ore slumped to a three-month low despite extra support for China’s housing market as investors fretted that steel demand wouldn’t stage a strong recovery after the Lunar New Year break.

Futures sank more than 5% in Singapore to hit the lowest intraday price since early November, following a drop in the week’s opening session. The weakness came even after Chinese banks cut a key reference rate for mortgages by a record amount, throwing more weight behind property-sector rescue efforts.