...iron ore fell -2.9% to US$101.15 overnight. ANZ warns on steel prices, sees gold higher
Tom Richardson
ANZ has warned iron ore prices may remain under pressure given ongoing signs of weakness in the steel sector.
“Steel prices are set to record their biggest first quarter fall since 2018,” ANZ Bank said. “Reports of steel mills increasing their output despite weak downstream demand weighed on sentiment. A leading market survey showed more than 30 blast furnaces have resumed production in March and 17 will resume in April.”
The bank also noted gold advanced 1 per cent overnight to $US2193 an ounce, near a record high.
“A rising gold price suggests the market expects further falls in inflation should support the central banks move to cut rates later this year. Safe haven demand also remains strong,” ANZ said.
