During the week ending March 24, rebar and wire rod prices in the Chinese domestic market have indicated a slight rebound, while trading activity in the market has started to improve. On March 24, rebar futures contract (1410) offers closed at RMB 3,213/mt ($517/mt) at Shanghai Futures Exchange, decreasing by $3/mt week on week. Average domestic rebar and wire rod prices in China's main markets can be viewed in the SteelOrbis price reports section.
The minor rebound observed in Chinese domestic rebar and wire rod prices in the past seven days has been mainly due to increased construction activity amid warmer weather conditions. Market inventory levels have fallen slightly, giving a boost to market confidence. In addition, domestic producer Shagang has kept its quoted prices stable, while some medium-sized mills have made slight upward adjustments to their domestic rebar and wire rod quotations. Some mills have indicated that their inventories are still on the high side. Overall, Chinese domestic rebar and wire rod prices are expected to move up slightly in the coming week if trading activity continues to improve.