Benchmark iron ore futures in China were little changed on June 30, after falling 3.8% in the previous session, on concerns of declining steel demand because of construction slowdowns caused by poor weather and the coronavirus outbreak.
The most-actively traded iron ore futures on the Dalian Commodity Exchange, for September delivery, inched up 0.3% to 750 yuan/t ($106.14/t) as of 0330 GMT. The contract is set to fall 0.3% in June.
Prices for the 62% iron-content ore for delivery to China settled at $101/t on June 29, down 2.9% from $104/t on June 2, data tracked by SteelHome consultancy showed.
The Chinese summer is typically a slow period for steel demand as heavy rains and heat interfere with construction. China, the world's biggest steel consumer, is forecasting a number of storms in its eastern coastal provinces this week.
"The current demand for steel products has weakened and apparent consumption is slumping and the off-peak season is having a relatively big impact on the market", said Huatai Futures in a note.
Iron ore shipments from Brazil, the second-biggest supplier to China, may rise in the coming months after the resumption of mining activities in the South American country, Huatai said.
However, Huatai did caution that iron ore supply faces from risks as Australian shipments may drop because of maintenance in July.
Shipments of the steelmaking ingredient departing for China were at 83.24 million tonnes so far in June, compared with a 93.15 million tonnes a month earlier, vessel-tracking data compiled by Refinitiv showed.
(Writing by Emma Yang Editing by Jessie Jia)
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