Meanwhile, mills in the steel hub of Tangshan ramped up run rates. An oversupply of steel has left steelmakers with little room for profit expansion, according to a weekly report by Huatai Futures Co. Ltd.

China may keep pushing for a lower policy rate and bank reserve requirements to shore up its recovery, according to the state-owned China Securities Journal.

Meanwhile, daily iron ore exports from Brazil climbed to 1.75 million tons in the first week of November, according to data published on the website of the economy ministry. In November 2022, the country shipped about 1.66 million tons a day, based on figures reported by the ministry.

Iron ore traded 0.4% lower at $127.60 a ton in Singapore by 11:31 a.m. local time. Futures in Dalian and steel prices in Shanghai edged down.