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    CHINA REBAR: Destocking demand causes downward pressure on prices

    شناسه : 49584 27 خرداد 1400 - 11:30

    China’s domestic rebar prices continued to fall on Wednesday June 16 due to sellers looking to destock.

    CHINA REBAR: Destocking demand causes downward pressure on prices
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    China’s domestic rebar prices continued to fall on Wednesday June 16 due to sellers looking to destock.

    Domestic
    Eastern China (Shanghai): ۴,۹۸۰-۵,۰۱۰ yuan ($778-783) per tonne, down by 70 yuan per tonne.
    Fear of further drops in end-user demand and the decline in futures prices have strengthened sellers’ desire to run down their stocks, sources said.
    May is seasonally a weak month so buyers were cautious in stocking up rebar at that time; weak demand for the material currently at a time of good availability may push more sellers to reduce their offers later in June, sources said.
    Market chatter
    “My customers suspended procurement in the afternoon due to the sharp futures drop, so the sales volume is half of yesterday’s,” a trader in Shanghai said.
    Billet
    As at 3pm, billet was being traded at 5,020 yuan per tonne, including value-added tax, in Tangshan – down by 40 yuan per tonne from June 11.
    Shanghai Futures Exchange
    The most-traded October rebar futures contract closed at 5,014 yuan per tonne on June 16, down by 154 yuan per tonne day on day.

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