On September 24, Australia's iron ore 62% Fe, CFR China, hiked by US$4.35 to US$94.3, which was the largest single-day gain in more than a year. Following the People's Bank of China's announcement of reductions in the reserve requirement ratio and policy interest rates, along with other favorable measures lowering benchmark market rates, market confidence notably strengthened. This triggered a broad upswing in ferrous metals futures, with spot steel prices reversing and rising in tandem, which in turn fueled a sharp rebound in iron ore prices.

Analysts pointed out that iron ore supply remained sufficient, while the recovery in production at China's steel mills was slow, resulting in strong supply but weak demand. However, a series of stimulus policies from China, combined with cautious restocking by steel mills ahead of the Mid-Autumn Festival, created ongoing restocking demand leading up to the National Day on October 1st. Consequently, the short-term outlook for iron ore remains relatively bullish.