A new iterative reconstruction algorithm is developed and applied to moiré deflection tomography for flow field measurements. The algorithm is derived from the basic deflection formula and based on a modified algebraic reconstruction technique. The precision and convergence of the algorithm are analyzed through a numerical simulation. To capture multidirectional projection data, a rotatable deflectometric system is developed. The efficacy of the new algorithm is assessed by reconstructing an asymmetric temperature field. Furthermore, the algorithm is employed to investigate the image of a cross section of a free jet containing steep gradients and to reconstruct the density field of the rocket exhausted jet.