During the week ending April 23, the Chinese domestic hot rolled coil (HRC) market has declined at a slower rate than in the previous week when significant declines had been witnessed. Average HRC prices in the local Chinese market can be viewed in the SteelOrbis price reports section.
Over the past week, HRC traders in the Chinese domestic market have become increasingly unsure regarding the market prospects and have reduced their HRC offer prices. In the meantime, transaction activity in the market has been quiet. The earthquake which hit Sichuan Province on April 21 has stimulated expectations for improvements in steel demand. However, the HRC market may seen a limited impact as compared to the rebar and wire rod markets.
The order volumes in the domestic HRC market have decreased significantly amid sluggish macroeconomic data. It is thought that HRC prices in the Chinese domestic market will likely move down in the coming week.