Australia's iron ore (62% Fe, CFR China) on May 21 slightly increased by US$0.05 to US$100.35. It has increased by a total of US$2.5 this month, a rise of 2.55%. China's black commodity futures market fluctuated yesterday, while the decline in spot prices showed signs of slowing. The overall steel market remained stable, but upward momentum was limited.

Global iron ore shipments rebounded; however, the volume arriving in China decreased. In addition, domestic iron ore production in China declined in April, leading to a slight rebound in iron ore prices.

Market participants stated that China’s new policies have already been implemented, and the US Federal Reserve is unlikely to make adjustments in the near term. As the macroeconomic environment stabilizes, Chinese steel prices lack significant upward or downward momentum. At the same time, iron ore supply is expected to rise, and Chinese steel mills are restocking only as needed. As a result, iron ore prices are expected to continue fluctuating slightly in the short term.