China construction steel daily recap – October 10

China construction steel daily recap – October 10

Few transactions were concluded in China’s main construction steel markets today. Prices continued to show a downward trend, with wire rod prices showing a sharp drop. Shanghai construction steel prices declined rapidly. In Beijing, wire rod prices saw a large range of decrease, HRB400 rebar prices were down slightly, and HRB335 rebar prices were basically stable. Guangzhou was not brisk, with wire rod and some rebar products seeing declines. The average of 20mm HRB335 rebar prices in Beijing, Shanghai and Guangzhou market was RMB 3’067/ton ($378), down RMB 16/ton ($2); 20mm HRB400 rebar was down RMB 16/ton ($2) at RMB 3’217/ton ($396); and 6.5mm Q235 high-speed wire rod was down RMB 40/ton ($5) at RMB 3’130/ton ($385). Shanghai Upon opening today, some traders initiated price cuts for rebar. Other traders quickly followed suit. The decrease range was over RMB 20/ton ($2). In the afternoon, it was reported that the transaction volume was low as prices continued to decline. The decrease range reached RMB 40/ton ($5) cumulatively throughout the day. After the National Holidays, batches of new products arrived in Shanghai. Since they had newly arrived products, some traders cut their prices in an attempt to get more business. Beijing Traders’ price quotations for HRB335 rebar were slightly reduced, and the actual deal price was equal to that of the previous trading day. HRB400 rebar prices were relatively stable. For large diameter rebar, prices were down RMB 10/ton ($1). According to some market players, the current HRB335 rebar inventory is low and its price is firm. Traders faced inventory pressure for large diameter rebar. During the holidays, the transaction situation was good. However, there were not many business activities in the last few days. Q235 high-speed wire rod prices were down RMB 70/ton ($8). After the price cut, high-speed wire rod prices were equal to those of wire rod. The inventory level was high. Guangzhou HRB335 rebar prices were quoted at different levels. The price gap among traders was large. Yesterday, October 9, a minority of traders decreased their wire rod prices at the closing time. Upon opening today, wire rod prices fell across the board. Market players indicated that the current inventory level in Guangzhou market remains at a normal level with no obvious changes.