Despite weaker domestic demand for steel, the benchmark December iron ore contract on the Singapore Stock Exchange has risen 22% since the end of October, hitting a nine-month high on Wednesday.
The benchmark on the Dalian Commodity Exchange hit its highest level since August 2021, helped by Beijing’s decision to issue 1 trillion yuan of government bonds to restart its economy.
News that Chinese regulators are drawing up a list of 50 real estate developers eligible for a range of financing is also supporting the market.
Companies should not fabricate and disseminate information about rising iron ore prices or inflated prices, the NDRC said in a statement.
Hoarding, excessive speculation and manipulation of the futures market are also not permitted.
Iron ore prices fell after the NDRC made the statement. DCE’s most-traded January iron ore contract ended mid-morning, down 1.62% at 969 yuan ($134.38) a tonne, while the Singapore benchmark fell 2.09%.
The state planner issued a similar warning in early September and also took measures to cool the market earlier this year.
($1 = 7.2111 Chinese Yuan)
(By Amy Lv and Dominique Patton; Editing by Jacqueline Wong and Kim Coghill)
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