On June 26, Australia's iron ore (62% Fe, CFR China) subtly went up by US$0.8 to US$92.7. Coking coal and coke prices in China rebounded due to stricter safety regulations in China’s Shanxi and the closure of the border between Mongolia and China. This drove up prices in the ferrous futures market and slowed the decline in spot prices. Meanwhile, the People's Bank of China conducted a reverse repo operation, injecting CNY305.8 billion into the market. The third round of funding for the trade-in consumer goods program is also set to be released on July 1, further supporting a rebound in iron ore prices.

However, steel demand remains weak during the off-season, and market confidence is limited. Total steel inventory increased this week, making it difficult for the steel market. Additionally, the iron ore market is experiencing oversupply, and steel mills showed less interest in restocking. As a result, market participants expect iron ore prices to experience short-term fluctuations.