Iron ore rose — following two sharply weekly gains — on speculation China’s top economic planner will unveil more stimulus measures at a press briefing on Tuesday morning.

Citi believes iron ore and base metals are set to rally on a whopping 10 trillion yuan ($2.1 trillion) stimulus package from Beijing over the next two years.

China's significant stimulus measures have kicked the prices of key metals higher, and the gains have largely been sustained even amid a debate as to whether Beijing has actually done enough to boost the world's second-biggest economy.

Investing.com-- Citi analysts presented a bullish, near-term view for base metals and iron ore prices, citing optimism over more stimulus measures from top consumer China, although the longer-term view was less positive.

Rumours of iron ore’s price demise have been greatly exaggerated, according to some analysts, who now see a stellar reversal of fortune for the steel-making ingredient back towards $US120 a tonne.

Prices for iron ore have spiked 10% over the weekend coming in at over $US110 a tonne in Singapore for the first time since July.

Iron ore futures spiked in early trading Monday after three of China's biggest cities eased restrictions on homebuying, raising hopes for stronger demand in the top global consumer of the steelmaking ingredient.