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It is reported that Chinese iron ore spot market prices surge by 19.5%, after strong gains in futures of this commodity, which were driven by the expectations that Chinese steelmakers are planning to increase its steel production in the short term. 

Chinese iron ore prices for prompt delivery increased US$10.2/ton to reach US$62.6/ton, the highest level since June 15, 2015. Future contracts in China was increased by 5%.

However, Goldman Sachs said that the high price level of iron ore will not last for long due to the absence of significant improvement in steel demand in China.

• [Editor:Chen Zhen Seng]