The iron ore jaws have eased slightly.
Bearish commentary is spreading.
- Iron ore’s robust start to the year is at odds with market fundamentals, as China’s steel output is on course for a seven-year low and port stockpiles have ballooned.
- The rally in iron ore futures is being driven by improved risk appetite and expectations of policy support, rather than a sustained tightening in the physical market, according to Ewa Manthey.
- The iron ore market is expected to remain oversupplied in 2026, with the Simandou mega-project in Guinea set to account for about 5% of global production and put pressure on prices.
