Iron ore prices continued to rise yesterday (July 22), surpassing the US$104/ton level. The CFR price of 62% Fe grade iron ore fines from Australia to China rose by US$1.8 to US$104.35, hitting a nearly five-month high since February 28. This surge was primarily due to news of coal production cuts in China.

This development triggered a rally in coking coal and coke futures, which in turn boosted steel futures and spot steel prices. As a result, iron ore strengthened.

Despite this upward trend, some market participants foresaw that the rally might slow. They pointed to the ongoing adjustments in China's real estate market and the impact of the summer low season on demand, forecasting a more volatile period for iron ore prices ahead.