Higher inflows from Brazil, Australia may trigger iron ore price declines

Iron ore prices are at risk of falling to their lowest level since 2009 as increased supplies from Australia and Brazil boost a global surplus and prompt the closure of some higher-cost Chinese suppliers.

Ore with 62 percent content at Qingdao fell 0.3 percent to $90.07 a metric ton on Monday, according to data from Metal Bulletin Ltd. That is near this year's low of $89.48 on June 16, which was the lowest price since September 2012, when it bottomed out at $88.08. A price of less than $88.08 would be the lowest seen since October 2009.

The commodity may retreat to $80 a ton this year, according to Helen Lau, an analyst at UOB Kay Hian Ltd in Hong Kong.