The price of iron ore has now jumped 12 per cent in two days to just over US$100 a tonne, after adding $US5 a tonne overnight - helped by another big rise in Chinese iron ore prices.
The combined two day increase in the index is the biggest in the four years it has been operating.
Looking over the past week there has been an even bigger jump - up around 15 per cent since hitting near three year lows of US$87 a tonne on September 5.
Australia's big miners have reacted to the news.
At the market open at 10.10am EST today Fortescue Metals Group (ASX: FMG) is trading 3.9% higher at $3.50, while BHP Billiton (ASX: BHP) is 0.7% stronger at $32.80, and Rio Tonto (ASX: RIO) has added 0.8% to $54.53.
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