Rising trend in local Chinese rebar and wire rod market

During the week ending April 23, average prices of Chinese domestic rebar have moved on an upward trend, while transaction activity in the overall domestic rebar and wire rod market has been at medium levels. On April 23, rebar futures contract (1810) offers closed at RMB 3,537/mt ($561/mt) at Shanghai Futures Exchange, up $27/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, inventory level of rebar and wire rod in eastern China has declined sharply, exerting a positive impact on rebar and wire rod prices. Meanwhile, rebar futures prices have moved up, positively affecting market participants’ sentiment in rebar and wire rod market. With the inventory level on steelmakers’ side indicating a decreasing trend, supply shortage has been observed in some regions. Moreover, demand has been good, which will persistently consume rebar and wire rod inventory. However, since rebar and wire rod prices have moved up in the recent period, market players may be cautious in the near future. It is thought that rebar and wire rod prices will likely move sideways at current high level 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 6.30