Iron ore prices continue descent on property downturn

Iron ore prices have continued to decline, reaching their lowest level in more than five years, Bloomberg reported. Ore with 62% content delivered to Qingdao dropped to US$71.80 per dry ton, the weakest price since 2009 and 47% lower than last year. Construction is a main driver of iron ore prices, and China’s property market plays an important role. With declining home prices and weaker than expected growth in China, many specialists predict ore prices will continue to decline next year. Amid this drop in prices, numerous ore producers saw their stock value fall as well.