The current price represents a five-and-a-half-year low, slipping below the $US61. 30 a tonne price hit earlier this week, with levels below $US63 a tonne last seen in 2009.
The price of the commodity rose 1. 1 per cent in a single session earlier this week, lifting for the first time in 11 sessions, however with two consecutive days of losses the spike seems to have been short lived.
The price of iron ore dropped to fresh five-and-a-half year lows overnight and is now closing in on the key $US60 a tonne-mark as fears over the medium-term outlook for supply and demand of the commodity continue to weigh on investors.
At the end of the latest offshore session, benchmark iron ore for immediate delivery to the port of Tianjin in China was trading at $US61. 10 a tonne, down 0. 5 per cent from its previous close of $US61. 40 a tonne.
Little respite is tipped in the coming 12-24 months as most analysts now forecast an average price of about $US60-$US65 a tonne for both 2015 and 2016.
Read more here: Business Spectator