COM - Iron ore plunges as Chinese steel production restrictions weigh

Diversified miners slide alongside base metals prices as Chinese iron ore futures fell more than 8%, after China's factory activity contracted for the first time since April 2020 and restrictions on steel production across the country dimmed prospects of restocking demand. Benchmark January iron ore futures (SCO:COM) on the Dalian Commodity Exchange closed -7.8% to 765 yuan/metric ton, after dropping as much as 8.6% to 759 yuan/mt, while the most-traded September contract in Singapore settled -6% to $143/ton. Benchmark London copper (HG1:COM) falls by more than 2%, and aluminum (LMAHDS03:COM) also declines after posting decade highs. On aluminum, the China Nonferrous Metals Association says in a new report that supply is not in a notable shortfall and consumption is not strong enough to warrant such high prices. The big global miners all trade lower in the U.S.: BHP -1.7%, RIO -1%, VALE -1.2%. Steelmakers also post broad declines: X -2.2%,

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Iron ore plunges as Chinese steel production restrictions weigh