Graphic: China stimulus, mighty gold puts silver on a streak, but not without risk
Silver prices have bubbled up to their highest in over a decade.
Iron ore prices extended gains on Friday, underpinned by rising hopes of stimulus measures in China after weaker export data and lower inventories at both mills and ports.
According to Fastmarkets MB, benchmark 62% Fe fines imported into Northern China were changing hands for $116.52 a tonne Friday morning, up 4.25%.
The most-traded September iron ore contract on the Dalian Commodity Exchange ended daytime trading 2.54% higher at 849 yuan ($119.02) a metric ton, the strongest since March 17.
The benchmark August iron ore on the Singapore Exchange was up 3.58% at $113.85 a metric ton, as of 0725 GMT, the highest since April 11.
China’s exports fell last month at their fastest pace since the onset of the covid-19 pandemic three years ago.
Iron ore rose in tandem with hopes that Beijing would deliver more economic aid for the beleaguered property sector, as investors shrugged off the disappointing trade data, analysts at National Australia Bank said in a note.
Meanwhile, iron ore inventories at the surveyed 247 steel mills declined by 1.3% on the week to 85.22 million metric tons as of July 14, while stocks at the surveyed 45 ports fell for the fourth consecutive week by 1.1% on the week to 124.95 million metric tons, data from consultancy Mysteel showed.
The softening U.S. dollar, following better-than-expected economic data, also lent a hand in boosting prices.
($1 = 7.1330 Chinese yuan)
(With files from Reuters)
