Chinese domestic semi-finished steel market moves up

During the week ending August 1, Chinese domestic semi-finished steel prices have indicated an overall upward trend, while transaction activity in the market has been at low-to-medium levels. Average prices of steel billet and slab in the local Chinese market are presented in the following table.

During the given week, ferrous metals futures prices in China have increased, exerting a positive impact on semi-finished steel prices in spot market. Lately, semi-finished steel inventories have indicated some slight increases, though they still remain at relatively low levels. Most traders are optimistic as regards the future prospects for the market. However, downstream users are now more cautious about concluding purchases of semi-finished steel at increased price. It is thought that semi-finished steel prices may indicate occasional downticks in the coming week, though the overall trend of the semi-finished steel market is expected to continue in an upward direction.

 All prices are ex-warehouse and on actual weight basis and include 17 percent VAT.
 
$1 = RMB 6.72