Iron Ore Sinks as China Renews Hoarding, Price Gouging Warnings

Iron ore fell after Chinese regulators renewed warnings to companies against hoarding and price gouging in response to a recent surge in the steel-making material.

The National Development and Reform Commission summoned iron ore traders, and will study regulatory and supply measures to curb “unreasonable” rises, it said in a statement late Friday. The new warning follows recentefforts by Beijing to tame prices, which closed at a nine-month high last Wednesday.

“The steel output curb/limit announcements are designed to reduce irrational exuberance and speculation, so the iron ore price does not go ballistic,” said Philip Kirchlechner, a director ...