Iron ore, which is a key input for blast furnace steelmakers, is at a new high. Iron ore futures in Singapore are up 10 percent.

Here’s a look at the underlying triggers.

Chinese steel output and apparent demand is up 19 percent YoY in March.

China's environmental policies for the steel industry supportive of higher grade iron ore.

World demand conditions, ex-China remain robust. World steel output saw 2.3 percent growth in March and global PMI stands at 10-year high.

Western and Chinese GDP growth forecasts revised higher.

Brazil iron ore exports are soft; around 300 mtpa based on a 4-week moving average.

Australian exports were also soft at the start of April, but have since recovered.

Watch the video for more.

(Edited by : Abhishek Jha)