Iron ore spot prices rose to $113.40 a tonne in July 2023 as the market priced in fresh support measures from Beijing after the Chinese leadership's July Politburo meeting signalled a pro-growth shift towards the property sector. The meeting aimed to boost private confidence and household consumption, and traders took it as a sign that more help for the housing market was coming. Iron ore had traded between $99 and $137 a tonne during 2023, and the July rally lifted it off its May lows near $100. Wood Mackenzie cautioned that the market was looking past subdued growth, a faltering property sector and steel production cuts, and expected prices to ease to $105 a tonne by the fourth quarter. For steelmakers, the higher ore price kept margins under pressure even as finished steel prices steadied.
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