The price of Australia's 62% Fe grade iron ore fines shipped to China rose by US$0.75 yesterday (June 10), hitting US$103.2 per ton, logging a two-day recovery from a three-month low. This price turnaround happened as steel futures rebounded and steel spot prices in China stabilized, leading to increased trading volume.

Besides, rising primary fuel costs driven by geopolitical tensions also provided upward pressure. Furthermore, mild monthly recoveries in China's May consumer and producer price index backed the market turnaround.

In spite of this brief recovery, iron ore lost 3.5% of its value this month. Loose supply dynamics restrict further growth, as miners increase shipments and daily molten iron output drops. Weak seasonal steel demand in China also keeps prices under pressure, pointing toward volatile fluctuations ahead.