MYSTEEL: Iron ore futures face pressure as supports weaken

China's iron ore futures prices staged a sharp recovery in August, powered by firm freight costs, resilient steel output and seasonal restocking among steelmakers, Mysteel notes in its latest report. However, prices have slumped over the past week, signaling a lack of momentum ahead of China's National Day holiday over October 1-8, it adds.

The most-active iron ore contract on the Dalian Commodity Exchange (DCE) bottomed at Yuan 698/tonne ($104/t) on August 3 – its weakest close so far this year – before rebounding to Yuan 744.5/t by September 4, a gain of 6.7%. Three forces drove the rally, the report says. Seaborne freight