Posted on 16 Jun 2021
China’s steel prices in both spot and futures markets had been rangebound over June 7-11, and market participants stayed comparatively cautious amid the overall price fluctuation, Mysteel Global noted.
Rebar: China’s national price of the HRB400E 20mm dia rebar under Mysteel’s assessment reversed down but by just Yuan 34/tonne ($5.3/t) on week to Yuan 5,214/t including the 13% VAT as of June 11.
The daily trading of construction steel including rebar, wire rod and bar-in-coil among China’s 237 steel trading houses rebounded by 45,792 tonnes/day or 22.1% on week to 253,327 t/d on average for the second week of June, partly as some end-users and traders replenished some volumes on noting the signs of price stabilization and ahead of the short public holiday on June 14, Mysteel’s survey showed.
The most-traded October rebar contract on the Shanghai Futures Exchange (SHFE) closed the daytime trading session of June 11 at Yuan 5,322/t, or up Yuan 147/t from the settlement price on June 4, and the contango against the Shanghai spot price, thus, widened to Yuan 192/t from Yuan 49/t a week earlier.
Billet: The Q235 150mm square billet price in Tangshan, North China’s Hebei province, inched up by Yuan 10/t on week to Yuan 5,010/t EXW and including the VAT as of June 11, according to Mysteel’s data, as the local re-rollers had been ordered for another round of production halts over June 10-15, and they had procured billet just for their immediate needs.
HRC: China’s price of Q235 4.75mm hot-rolled coil (HRC) under Mysteel’s assessment inched up for the second week by Yuan 9/t on week to Yuan 5,604/t including the 13% VAT on June 11, and HRC stocks at the commercial warehouses in China’s 33 cities grew further by 19,700 tonnes on week to around 2.58 million tonnes as of June 10, as the spot sales slowed down.
The SHFE’s most-traded October HRC contract increased more substantially by Yuan 132/t from the settlement price on June 4 to Yuan 5,610/t when the daytime trading session of June 11 closed, and the backwardation against Shanghai spot price, thus, narrowed to Yuan 40/t from Yuan 122/t in the prior week.
Source:Mysteel Global
