BEIJING/MANILA, June 2 (Reuters) - Chinese iron ore futures logged their fifth session of gains on Thursday to scale more than six-week highs, as steel mills replenished inventories ahead of holidays and ramped up production as the virus-hit economy gradually recovers.
"Global (iron ore) shipments are relatively stable and the demand side is improving," analysts with commodities brokerage Galaxy Futures said.
Galaxy Futures said steelmakers would suffer bigger losses if production gets suspended, and are still churning out products and restocking iron ore inventories ahead of the holidays.
Benchmark iron ore futures on the Dalian Commodity Exchange for September delivery surged 3.8% to 936 yuan ($140.19) a tonne at the close, the highest since April 19.
On the Singapore Exchange, the most-active June iron ore contract leaped 4.8% to $141.8 a tonne.
However, the rise in iron ore prices could be limited, ANZ Research said in a note on Thursday.
"Constraints on steel output remain, while easing regulations on the housing sector won't solve its underlying issues. This may be as good as it gets," it said.
Coking coal futures on the Dalian bourse gained 2.8% to 2,813 yuan a tonne and coke prices rose 3.4% to 3,669 yuan per tonne.
Steel prices on the Shanghai Futures Exchange also ended higher.
"End-consumption is the core to affect recent steel prices," SinoSteel Futures said in a note, adding that seasonal demand this year was worse than usual in spring, while rains and heat in summer could dent construction activities.
But China's decision to beef up measures to support its ailing economy and markets is expected to lift prices of industrial metals.
Construction material rebar for October delivery stood at 4,788 yuan a tonne, up 2% from the previous session.
Hot-rolled coils, used in cars and home appliances, advanced 1.8% to 4,879 yuan a tonne, while Shanghai stainless steel increased 1% to 18,495 yuan a tonne.
China's markets will be closed on June 3 for the Dragon Boat Festival.
($1 = 6.6765 Chinese yuan renminbi) (Reporting by Min Zhang in Beijing and Enrico Dela Cruz in Manila; Editing by Sherry Jacob-Phillips and Jan Harvey)
