Other Dalian steelmaking inputs were also subdued, with
coking coal up 0.4% while coke dipped 0.2%.
Steel benchmarks fell, with rebar on the Shanghai Futures
Exchange down 0.9%, hot-rolled coil slipping
0.6%, and wire rod shedding 0.8%. Stainless steel was virtually flat.
(Reporting by Enrico Dela Cruz in Manila; Editing by Savio
D'Souza)
By Enrico Dela Cruz
Feb 7 (Reuters) - Dalian and Singapore iron ore futures
dipped on Tuesday, hovering around their lowest levels in nearly
three weeks, as rising portside inventory in China weighed on
prices already pressured by weak demand prospects.
The most-traded iron ore, for May delivery, on China's
Dalian Commodity Exchange fell as much as 1.1% to 837
yuan ($123.41) a tonne.
On the Singapore Exchange, the steelmaking ingredient's
benchmark March contract was down 1.3% at $121.70 a
tonne, as of 0435 GMT.
Imported iron ore stocked at Chinese ports was estimated at
136.5 million tonnes as of Feb. 3, the biggest inventory since
early December, SteelHome consultancy data showed. "Rising iron ore inventory and steel products are reflecting
weaker Chinese demand post the (Lunar New Year) holiday, with
reopening now expected to impact the consumer more than
construction/housing activity," Westpact analysts said in a
note.
Policymakers in top steel producer China plan to further
boost support for domestic demand this year but are likely to
stop short of splashing out big on direct consumer subsidies,
Reuters reported, citing sources close to policy discussions.
Meanwhile, analysts said latest Chinese property market
indicators were disappointing, despite government support to
revitalise the ailing sector that accounts for a sizeable
portion of domestic steel demand.
"Top 30 cities property sales were massively lower compared
to January last year and also lower than same CNY holiday period
in 2022. January existing home sales in Shanghai were also
poor," commodities broker Marex said in a note.
"So we are seeing a very slow recovery in China's housing
market so far."
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