During the week ending July 2, the Chinese rebar and wire rod markets have been following a soft trend, amid slow market activity. On July 2, rebar prices at Shanghai Futures Exchange closed at $640/mt. At present, average offers of HRB 400 rebar in the Chinese domestic market stand at $656.6/mt, while average offers of HRB 335 rebar are at $637.1/mt. The average price of 8 mm high speed wire rod is $642/mt. Average domestic rebar and wire rod prices in China's main markets can be viewed in the SteelOrbis price reports section.
In view of the high temperatures and rainy weather in the summer season, traders have started to enter negotiations on prices with a view to lessening their inventories. As a result, prices of long steel products in the domestic market have declined slightly. At present, as construction activity is slow, demand for long steel is on the low side. It is heard from traders that steel mills are now offering more discounts, which indicates that prices will probably continue to decline.