Toekomstbeeld schreef op 22 september 2017 08:51:
Commodity crunch continues as China's credit rating downgraded and demand fears intensify
By business reporter Stephen Letts
Posted 36 minutes ago
Key points:
-Iron ore futures have slumped 18 per cent over the past month
-Standard and Poor's credit downgrade is the latest hit to falling sentiment around China's economy
-Weak data and tighter credit point to a slowing Chinese economy
Iron ore and coal prices have continued to tumble as China was hit by a credit downgrade and fears demand for steel was falling.
The most heavily traded iron ore futures contract on the Dalian exchange was down another 3.4 per cent in afternoon trade, to be down more than 7 per cent for the week and 18 per cent off its recent peak a month ago.
Spot iron ore prices have fallen even more to about $US66 a tonne, its lowest level since May.Another key component in steel making, coking coal, is down more than 10 per cent over the week, while futures trading in rebar steel — used in reinforced concrete and construction — has seen prices dip 5 per cent in recent days.