Activity in local Chinese rebar and wire rod market impacted by weather conditions

During the week ending December 14, rebar and wire rod prices have continued to edge down in local markets in China. Transaction activity in the domestic rebar and wire rod market has been at low levels. On December 14, rebar futures contract (1605) offers closed at RMB 1,665/mt ($258/mt) at Shanghai Futures Exchange, down $3/mt week on week. Average domestic rebar and wire rod prices in China's main markets are presented in the tables below.

During the given week, the weather in northern China has become colder, with more construction sites halting their activities, resulting in declines in demand in the local rebar and wire rod market, and thereby exerting downward pressure on prices. Meanwhile, rainy weather in southern China has also exerted a negative impact on construction activities. In addition, amid expectations of a hike in interest rates by the US Federal Reserve, prices of commodities, including iron ore, continued their downward movement. It is thought that rebar and wire rod prices in the Chinese domestic market will likely continue their downward movement in the coming week. 

 

 

All prices include 17 percent VAT and all prices are ex-warehouse

 

                        

 

All prices include 17 percent VAT and all prices are ex-warehouse.

 

$1 = RMB 6.46