Iron ore price hits over 5-week high on improving steel market, pre-holiday restocking

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Iron ore futures rebounded on Wednesday to hit a more than five-week high, helped by an improving steel market and anticipation of pre-holiday restocking by steelmakers in top consumer China.

Near-term ore demand will remain solid as mills show increasing willingness to resume production after an improvement in margins and downstream demand, said analysts. Meanwhile, data from information provider Gangguwang showed that China’s apparent construction steel consumption has risen more than 10% week-on-week as of April 17.

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