Analysis of the infcuence factors iron ore price in 2016 and prediction of the price in the future

The price of iron ore is mainly influenced by the national tax，oil price，the implementation of environmental protection law，mining giant monopoly，“the Belt and Road” policy，the new rural construction，the world economic recovery and financial speculation.In 2016，the price-based reform of resource tax，rising of transportation costs，more severe environmental situation，de-capacity of iron and steel，the intensified mining giant monopoly，devaluation of the renminbi，promotion of “the Belt and Road” and new rural construction，economic recovery and violent financial speculation have led to a rebound of iron ore price.Platts index(62%) rised from 39.25 at the beginning to 83.95 at the end of 2016.The price of iron ore in 2017 is expected to increase in the first half year and decrease in the second half.In the longer term，iron ore price will remain low at about 70～90 USD/t.