In the past week, the Chinese hot rolled coil (HRC) market has fluctuated in an upward direction. Average prices in the Chinese HRC market can be viewed in the SteelOrbis price reports section.
Amid improved demand, prices in the domestic HRC market have risen following the Qingming Festival in China last week. Meanwhile, many traders are keeping their inventories at relatively low levels.
However, as demand is still relatively low as compared with supplies, there is a lack of strong support for price increases. According to some traders, the current demand recovery could be short-lived. Nevertheless, traders are generally confident on the prospects for the market in the coming period and are inclined to raise their prices.
The recovery of end-user demand will be the key factor governing the price trend in China's HRC market. It is expected the market will continue to fluctuate upward in the coming seven days.