Barclays say iron ore to fall to average USD50 a ton in the April to June quarter

  • "forecast an imminent sell-off for iron ore"
  • prices will average $50/ton in Q2, before recovering throughout H2.

The bank cites three reasons for weaker price

  • the winter restriction season on steel production soon to end
  • port inventories of iron ore are at record
  • Chinese economy is set to slow

Forecasts avg price of

  • USD70/ton in Q1
  • USD50 in Q2
  • USD58 in Q3
  • USD62 in Q4

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Barclays via Bloomberg