Updated
Updated · Bloomberg · Jul 6
Iron Ore Rises 1.2% to $99 a Ton as China Expands Fortescue Curbs
Updated
Updated · Bloomberg · Jul 6

Iron Ore Rises 1.2% to $99 a Ton as China Expands Fortescue Curbs

3 articles · Updated · Bloomberg · Jul 6

Summary

  • $99-a-ton iron ore futures climbed as much as 1.2% before trimming gains, with the move driven by tighter trade restrictions and bargain buying after a recent slump.
  • China Mineral Resources Group asked several domestic steel mills and traders not to buy any new US dollar-denominated cargoes of Fortescue’s Super Special Fines, escalating its dispute with the Australian miner.
  • Those mounting curbs on Fortescue have supported the iron ore market in recent weeks by potentially tightening supply of a widely traded product.
  • Prices had fallen over the past couple of months, and that weakness also drew buyers back into the market alongside the latest China-related disruption.

Insights

With 95% of its revenue at stake, can Australian miner Fortescue survive China's escalating economic pressure?
Is China's new buying cartel a negotiating ploy or a permanent power play for global commodity control?