Spot iron ore prices slipped with market sentiment staying weak on uncertainty over when demand will take off as China's steel production cuts to save energy continue.
Slower iron ore shipments had dragged down the Baltic Exchange's main sea freight index .BADI to its lowest in a month on Tuesday, marking its seventh consecutive day of decline.
The index this year has largely followed the peaks and troughs of China's demand for the key steelmaking input, which represented about 40 percent of seaborne dry bulk trade in 2009.
"Sellers continued to keep offers elevated and buyers remained cautious, given the slowdown in China's steel production, and (increased) availability of domestic iron ore within China," Lachlan Shaw, an analyst at Commonwealth Bank of Australia, said in a note. SOurce: Reuters
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