The development could boost downstream consumption, which was halted for months due to the recent COVID-19 outbreak and had disappointed metals producers as they could not cash in on the traditional peak season for construction projects.
China’s factory activity declined slower in May from the prior month, though economic growth in the second quarter is still in doubt.
Benchmark 62% Fe fines imported into Northern China rose 0.3%, to $136.15 per tonne.
Chinese iron ore futures touched 900 yuan ($135.00) per tonne for the first time in nearly six weeks and logged a 2.6% monthly gain.
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(With files from Reuters)
