Iron ore jumps to four-month high after China construction gauge climbs
Iron ore prices jumped to their highest level in almost four months after a gauge of activity in China’s construction sector climbed to the highest level in more than three and a half years.
The price of a futures contract for one metric tonne of iron ore on China’s Dalian Commodity Exchange rose as much as 7.3 per cent on Monday to Rmb567, the highest level in nearly four months.
That jump came after the official sub-index for activity growth in China’s construction sector climbed to 62.5 in July, the highest level for that gauge since December of 2013. It also came despite weaker readings for growth in the country’s manufacturing and services sectors.
Source: Financial Times