In April this year, the purchasing managers index (PMI) for the Chinese steel sector was at 50.6 percent, 4.6 percentage points higher than that recorded in March this year, as announced by the China Steel Logistics Committee (CSLC), which is part of the China Federation of Logistics and Purchasing (CFLP).
Moreover, in April, the new order index stood at 51 percent, 9.9 percentage points higher than in March.
In April, the production index for the Chinese steel sector stood at 50.8 percent, 3.7 percentage points higher than in March, while the raw material purchase price index stood at 22.2 percent, 13.2 percentage points lower month on month.
In April, the finished steel inventory index stood at 35.7 percent, 14.9 percentage points lower than in March.
As for May, the demand for finished steel is anticipated to improve, which will bolster steel prices, while raw material prices may also edge up. However, the international geopolitical situation may be characterized by tensions, which may bring great volatility to ferrous metal prices.
