The price of iron ore continues to trend toward the $US60 a tonne mark as oversupply fears remain top of mind.

At the end of the latest session, benchmark iron ore for immediate delivery to the port of Tianjin in China was trading at $US60.70 a tonne, down 1 per cent on its prior close of $US61.30 a tonne.

The commodity has enjoyed just one positive trading session through the last 11 as traders spotlight falling steel prices and the potential for soft demand through the Chinese summer.

"Steel mills are still producing far more than is needed and the glut will continue for the next few months," Sun Qiaoling, a steel analyst with Shenzhen Tangyin Investments, told Reuters.

The latest falls came ahead of another rate cut from the People's Bank of China over the weekend.

The 25 basis point cut was the central bank's fourth such move since November last year and the stimulus could be viewed by traders as a positive for demand.

However, the last rate cut had little impact initially as investors largely eyed the decision as a sign the Chinese economy was performing worse than expected.