Various trends in local Chinese rebar and wire rod market

During the week ending January 18, rebar prices have indicated a slight rebound in Beijing, while declining in other regions of China. Wire rod prices have indicated a declining trend in Guangzhou, though remaining stable in other regions. Transaction activity in the domestic rebar and wire rod market has been at low levels. On January 18, rebar futures contract (1605) offers closed at RMB 1,827/mt ($282/mt) at Shanghai Futures Exchange, up $14/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, after previous rebounds, sentiment among market participants has weakened a little, contributing to slight downticks in some rebar and wire rod offer prices in China. Meanwhile, with the approach of the Chinese New Year holiday (February 8-14), demand from downstream users has become more sluggish, weakening support for rebar and wire rod prices. However, traders have positive expectations regarding the Chinese government’s reforms of the steel industry, and this has helped prevent a significant deterioration of market sentiment. It is thought that rebar and wire rod prices in the Chinese domestic market will likely move sideways 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 6.58