Posted on 16 Oct 2025
Chinese rebar and hot rolled coil futures continued their downward trend on Wednesday with the rate of decline accelerating, Kallanish notes.
On the Shanghai Futures Exchange, the most-traded, January 2026 rebar contract closed at CNY 3,034/tonne ($426/t) on Wednesday, down CNY 27/t versus the prior trading day. The same contract for HRC lost CNY 29/t at CNY 3,212/t.
There were no new negative headlines to impact the market on Wednesday, however, data showed a significant increase in short positions in the futures market.
Impacted by the futures market, spot prices also fell on Wednesday, but the decline was not as significant.
The state-owned Futures Daily wrote that fundamentally speaking, rebar lacks a key breakthrough, so the market needs to focus on the macroeconomic environment.
It adds: "In the short term, the contradiction between weak demand and firm costs is obvious, but it has not reached the level of negative feedback, and the impact on prices is limited… macroeconomic factors include concerns about escalating trade frictions, but also policy expectations from important meetings [in the fourth quarter]."
Source:Kallanish
