Local Chinese longs prices rather stable, sentiments still weak

During the past week ending April 14, average Chinese domestic rebar and wire rod prices have been fluctuating within a limited range, though sentiments have remained rather weak.

The average rebar price has decreased by a mere RMB 3/mt ($0.4/mt) compared to April 7, while the average 6.5 mm HPB 300 wire rod price has remained stable. Rebar prices have increased by RMB 7/mt ($1.0/mt) compared to the previous trading day, April 11.

During the given week, rebar and wire rod prices have seen slight decreases amid worsening sentiments due to the tariff issue between the US and China. The demand for rebar and wire rod from downstream users has been at decent levels, with inventories being consumed though not as fast as market players had expected. The turbulence in the global markets caused by Trump has caused most market players to be cautious as regards the future prospects for the rebar and wire rod market. It is expected rebar and wire rod prices in the Chinese domestic market will likely fluctuate within a limited range in the coming week. 

As of April 14, rebar futures at Shanghai Futures Exchange are standing at RMB 3,126/mt ($434/mt), increasing by RMB 43/mt ($6/mt) or 1.4 percent since April 7, while remaining stable compared to the previous trading day, April 11.  

Average domestic rebar and wire rod prices in China's main markets are presented in the tables below.    

Rebar prices in local markets

All prices include 13 percent VAT and all prices are ex-warehouse.

 Wire rod prices in local markets

All prices include 13 percent VAT and all prices are ex-warehouse.

$1 = RMB 7.211