Policy support hopes firm China's ferrous futures prices

Futures prices of major ferrous commodities across China including steel, iron ore, coke and coking coal all rebounded strongly on June 27 after the prior day's declines. Market sources cited growing expectations that China's central government will soon unveil more stimulus policies to support the domestic economy and to further stabilize the still-struggling real estate sector.

Among all ferrous futures contracts, iron ore prices led the rise on Tuesday, with the most-traded iron ore contract for September delivery on the Dalian Commodity Exchange (DCE) gaining a significant 4.1% on day to close the daytime trading session at Yuan 824/tonne ($114.2/t). "The strong performance of iron ore