Iron Ore-Spot prices fall on slow China steel demand

Iron Ore-Spot prices fall on slow China steel demand. Spot prices of iron ore falll as a wobbly near-term outlook for steel demand in top consumer China kept steelmakers from buying more of the raw material. Many Chinese steel mills had restocked iron ore ahead of an expected pickup in construction activity in the current quarter, but steel demand had so far been slow, prompting steelmakers to cut prices for May. "Since last week, purchases were dropping," said an iron ore trader in Shenzhen. "Many mills already have bought a lot for stocks so they can wait for prices to drop before they buy again." China's latest bank reserve hike on Sunday, the fourth this year, was expected to further tighten credit for steel producers and curb their capacity to buy raw materials, traders said.