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Iron Ore Hits Highest Since February on PBOC Outlook, Restocking - BLOOMBERG
BY Katharine Gemmell
(Bloomberg) -- Iron ore hit the highest price since February, buoyed by the outlook for macro-economic support in China and pre-holiday restocking.
Futures rose for a fourth day, nearing $109 a ton in Singapore. The People’s Bank of China said it would make use of multiple policy tools, including cuts to interest rates, in a flexible and efficient manner, according to a statement on Tuesday evening. The authorities didn’t give a timetable for the moves.
Prices were also supported by restocking before next month’s Lunar New Year break, according to Liz Gao, iron ore analyst at CRU. “Supply is robust now, but there are risks of disruptions for iron ore in the next few weeks due to seasonal weather. So there is potential that prices could go even higher.”
Iron ore ended 2025 with a modest gain, despite concerns about rising production from top miners, as well as indications of slowing steel output in China. Among signs of ample supplies, port inventories in the largest importer of the commodity have risen to the highest since late 2024.
Still, many raw materials — including base metals — have posted strong gains at the start of 2026. Among them, copper has rallied to a record.
Iron ore gained as much as 2.1% to $108.90 a ton in Singapore, and traded at that price at 3:37 p.m. local time, while Dalian contracts ended more than 3% higher.
In Australia, miners’ shares advanced, with Rio Tinto Group and BHP gaining ground.
