Slow demand and downbeat sentiment in local Chinese HRC market

During the given week, although HRC inventory in the spot market has not been at high levels, domestic HRC prices have softened due to the downtrend of prices in the steel futures and raw material markets. Traders have been willing to sell at lower prices in order to stimulate transaction activity. Currently, HRC traders are somewhat pessimistic regarding the future prospects for the market, though it is expected that demand for HRC will see a recovery in late August and early September as hot and rainy weather conditions subside. It is thought that HRC prices will likely move on a slight downtrend in the coming week.