Iron ore futures rebounded strongly on Monday, with the Singapore benchmark climbing back above $100 a tonne after a downbeat start to the week, buoyed by hopes of improvement in demand for steel in China.
Expectations for fresh stimulus measures have grown following a surprise contraction in China’s manufacturing PMI and a slowing growth momentum for service activity in April, which provided further evidence of an uneven recovery for the world’s No. 2 economy and biggest steel producer.
Iron ore’s most-traded June contract on the Singapore Exchange SZZFM3 rose as much as 7% to $105.70 a tonne, after shedding 1.7% to $97.05 earlier in the session.
Alien Metals Ltd (LON:UFO) is a global minerals exploration and development company that will shortly make the transition to iron ore producer. The company was formed from Arian Silver in late 2018, retaining some of the companies more valuable Mexican projects before embarking on an acquisition led strategy, headed up by an excellent geological team and targeted entirely on Western Australia.