Iron Ore Hits Four-Week High

Iron ore futures advanced toward CNY 690 per ton, reaching their highest levels in four weeks as improving profit margins boosted market sentiment. Industry data showed that the average margin on imported iron ore turned positive during the latest period, rising from -CNY 3.09 per ton to CNY 2.36 per ton, mainly supported by slightly lower freight costs and higher spot prices at Chinese ports. Steelmaking margins have also improved recently, strengthening expectations of increased hot metal production in the coming weeks. However, signs of abundant global supply continued to weigh on the market, with combined output from 16 major mining companies increasing by approximately 22.98 million tons year-on-year during the first three quarters of 2026. On the demand side, an industry survey found that 17 blast furnaces across China underwent maintenance in October, reducing daily hot metal production by approximately 57,100 tons, with most of the affected facilities located in North China.