Physical iron ore prices surged on Monday September 2 on news that Chinese mills were likely to face 'looser' production restrictions in the September-October period.
Fastmarkets iron ore indices62% Fe fines, cfr Qingdao: $90.58 per tonne, up by $5.92 per tonne.62% Fe Pilbara Blend Fines, cfr Qingdao: $90.97 per tonne, up by $5.93 per tonne.62% Fe low-alumina fines, cfr Qingdao: $87.32 per tonne, up by $4.63 per tonne.58% Fe fines high-premium, cfr Qingdao: $77.53 per tonne, up by $3.69 per tonne.65% Fe Brazil-origin fines, cfr Qingdao: $97.10 per tonne, up by $5 per tonne.62% Fe fines, fot Qingdao: 727 yuan per wet metric tonne (implied 62% Fe China Port Price, $93.45 per dry tonne), up by 26 yuan per wmt.Key driversMarket participants attributed the rise in seaborne iron ore prices to a string of positive indicators, including the emergence of restocking demand, upbeat manufacturing data from China and the expectation of looser restrictions on steelmaking operations in the next two months.Manufacturing activity expanded in China last month, with the Caixin purchasing managers index (PMI) at 50.4, compared with 49.9 in July. A reading...