Lower-grade iron ore contract prices will narrow or erase discounts in July, as spot differentials have gained further support from supply disruptions, product upgrades and margin pressures.

Iron ore futures close lower.

Iron ore futures open higher.

UK-Australian resources firm BHP is altering its 80mn t/yr South Flank iron ore project in the Pilbara region of Western Australia (WA) after a pledge not to destroy heritage sites in the mining area.

Iron ore concentrate floating prices were flat this week as buyers remain price sensitive on high-grade ores following gains in the underlying 65pc fines index.

Vale's decision to suspend iron ore mining at its Itabira complex in Brazil will have little effect on the Chinese and global iron ore market despite the marginal effect on the Brazilian market, analysts said.

WA iron ore shippers gear up for a big June.

The China Tianjin Bulk Freight Index (TBI), an indicator of northern China's international bulk freight rates, stood at 541.09 points on Tuesday, up 0.05 percent compared with the previous working day.