The price of iron ore has retraced some of its recent gains in offshore trade after a strong recovery from a recent 10-year low.
At the end of the latest session, benchmark iron ore for immediate delivery to the port of Tianjin in China was trading at $US54.60 a tonne, down 1.3 per cent from $US55.30 a tonne in the prior session.
There appeared to be no significant catalyst for the red session.
Reports of a slowdown in Australian exports -- combined with rising steel prices and steadier stock market action in Shanghai -- drove a near 6 per cent jump in the prior session, with the surge capping a four-day run of positive trading.
The commodity remains well clear of the 10-year low of $US44.10 a tonne reached in early July.
Fortescue chairman Andrew Forrest hit out at some of the more dire forecasts on Thursday, suggesting doomsday reports were overstated.
“To say iron ore prices could fall to Armageddon levels is really saying the world doesn’t need an iron ore industry,” Mr Forrest said.
He added that the Chinese economy, crucial to Fortescue's business as the world's largest consumer of iron ore, remained strong despite slowing from recent peak growth rates.
"It (China) could be stronger, it could grow faster, but it's still a very strong economy," he said.
Source: Business Spectator
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