Australia's iron ore (62% Fe, CFR China) on August 1 went up by US$0.55 to US$98.8. Regarding July, iron ore prices increased by a total of US$4.7, representing a rise of 5.02%. While the steel market in China continued to show weakness, the rate of decline has eased. At the same time, global shipments of iron ore have risen. Despite this, inventories at Chinese ports have slightly decreased, and steel mills in China are experiencing improved profit margins. Daily average hot metal output remains above 2.4 million tons, providing strong support for iron ore demand and contributing to the price increase.

According to market participants, after Chinese steel prices experienced sharp fluctuations, the market continues to hold expectations for anti-involution policies, though numerous macroeconomic uncertainties persist. In the short term, steel prices are expected to remain volatile with potential for a rebound. However, any increase is likely to be limited, and iron ore prices are expected to reflect a similarly volatile pattern.