The price of 62% Fe grade iron ore fines from Australia shipped to China slightly hiked by US$0.1 to US$109.3 yesterday (January 12), maintaining a peak not seen since October 8, 2024. This steady rise was due to increased molten iron production and pre-holiday restocking by Chinese steel mills.

Besides, strong performance in the coking coal futures market also provided momentum for raw material prices, contributing to a 2.6% growth in iron ore prices since the start of the year.

Although iron ore remains at elevated levels, rising port inventories and a recent buildup in finished steel stocks may limit further growth. Market participants are now monitoring the scale of upcoming mill replenishments to determine if this two-week upward trend persists or moves into a period of volatile sideways trading.