Iron ore prices unlikely to drop below $100 in 2024 – ANZ

Iron ore prices have risen more than 25% in the second half of 2023. Strategists at ANZ Bank are upgrading price forecasts.

Short-term target raised to $110

This rally looks susceptible to a retracement if demand does not eventuate as expected, which could be triggered by steel production cuts over the northern winter.

Nevertheless, the downside looks limited amid the tightness in the market. As such, we are upgrading our short-term (0-3mth) target to $110/t. We have also raised our 2024 forecasts, with prices unlikely to drop below $100/t.