MONTHLY: China iron ore prices to slip further in July

Imported iron ore prices in China are set to continue their retreat in July, weighed down by softening domestic steel demand amid the seasonal summer lull and sustained inflows of ore as strong overseas shipments begin arriving at Chinese ports, Mysteel predicts in its latest monthly report on the commodity. Moreover, the downward pressure is expected to intensify as falling oil prices drag freight rates lower, further eroding cost support, the report adds.

In June, Mysteel SEADEX 62% Australian Fines averaged $102/dmt CFR Qingdao, down $8.2/dmt from May's average of $110.2/dmt and marking the lowest monthly average since September last year. Iron ore prices faced headwinds from multiple quarters during the past month, the report notes. On the macroeconomic front, rising expectations for