Local Chinese rebar and wire rod prices rebound

As of January 22, Chinese domestic rebar and wire rod prices have rebounded on week-on-week basis, while transaction activity in the overall domestic rebar and wire rod market has been at medium levels. On January 22, rebar futures contract (1805) offers closed at RMB 3,927/mt ($614/mt) at Shanghai Futures Exchange, up RMB 23/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, rebar and wire rod prices in the Chinese domestic market first declined and then rebounded, while the average prices of rebar and wire rod are now higher compared to one week ago. Starting from the middle of the given week, rebar futures prices at Shanghai Futures Exchange (SHFE) have moved upwards, exerting a positive impact on rebar and wire rod prices in the domestic spot market. Meanwhile, some buyers started to build up inventories, which also provided support for rebar and wire rod prices. The previous declines seen in the rebar and wire rod market have reduced the risks of further significant price decreases in the market. It is thought that rebar and wire rod prices in the Chinese domestic market will likely edge up or move sideways in the coming week.

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

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

$1 = RMB 6.40