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Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
CHINA
- Growing concerns about a deepening liquidity crisis in the Chinese property sector continues to weigh on iron prices, currently trading at their lowest level since June 2020.
- Part of the plunge in iron ore prices was linked to the government crackdown on the real estate market, which has been a strong buyer of steel.
- The chart below shows that the collapse in Evergrande ST bonds (March 2022 and June 2025) have coincided with the fall in Iron Ore prices.
- In addition, the significant deceleration in Chinese economic activity combined with the fall in liquidity (annual change in TSF 12M sum) have been weighing on domestic assets and some China-sensitive commodities in recent months.
- Pressure remains on the downside for iron ore as Evergrande is expected to struggle to meet its ST obligation in the near term.
Source: Bloomberg/MNI
Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
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