Iron ore slumps to new low as global demand slumps
Iron ore prices have fallen to a five and a half year low as demand from China, the world’s biggest buyer, remains sluggish, according to media reports. The price of iron ore dropped 3.5 percent to $65.6 per metric ton on Tuesday, the cheapest since June 2009. The price is also a 51 percent decline compared to the beginning of the year, according to the Steel Index. Justin Smirk, an economist atWestpac Banking Corp, said that since the slowdown in China’s steel production this winter, the price of iron ore may drop further.