Activity slackens in local Chinese rebar and wire rod market

During the week ending November 14, Chinese domestic rebar and wire rod prices have continued their upward trend, while transaction activity in the domestic rebar and wire rod market has been at low-to-medium levels, slackening compared to the previous week. On November 14, rebar futures contract (1701) offers closed at RMB 2,945/mt ($431/mt) at Shanghai Futures Exchange, down $16/mt week on week. Average domestic rebar and wire rod prices in China's main markets are presented in the tables below.

During the given week, domestic rebar and wire rod producers have increased their ex-works prices, exerting a positive impact on rebar and wire rod prices in the spot market. Meanwhile, ferrous metal futures prices have generally continued to move up (though indicating a downward correction for rebar on November 14), thereby pushing up spot prices in the rebar and wire rod market in the past week. It is thought that rebar and wire rod prices in the Chinese domestic market will likely move sideways in the coming week, though not excluding the possibility of declines due to risks in the futures market.

Wire rod prices in local Chinese market

All prices include 17 percent VAT and all prices are ex-warehouse

 
Rebar prices in local Chinese market