Iron ore prices retreated to double digits

In China, which is the largest consumer of steel, there is strong pressure on steel product prices amid huge overcapacity, pushing the price of iron ore below $ 100.

The last time iron ore prices fell below $ 100 in September 2012, they stayed below that level for two weeks. Aside from this rapid fall in 2012, iron ore has not traded below $ 100 at all since 2009. Iron ore at 62 percent grade delivered to the Chinese port of Tianjin fell 2.2 percent to $ 98.50 per tonne, the lowest since September 13, 2012, according to The Steel Index Ltd.

The July iron ore futures contract on the Singapore Exchange slid 1.1 percent to $ 97.90 a tonne. August futures were down 1 percent to $ 97.85 a tonne. Prices for June fell 2.6 percent to $ 99.58 per tonne. Domestic iron ore prices also lost about CNY 10 per tonne due to the large amount of imported iron ore lying in Chinese ports.

Iron ore stocks at Chinese ports rose 1.8 percent to a record 112.55 million tonnes per week from a week earlier. The main health indicator in the Chinese metallurgical sector - rebar - on the Shanghai Futures Exchange remained below CNY 3,100 per ton for October delivery, undermining the confidence of Chinese market players became even stronger.