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    CHINA REBAR: End-user demand remains weak; replenishment demand rises

    شناسه : 52652 17 مرداد 1400 - 14:30
    Eastern China rebar prices were flat on Friday August 6 on rising demand from trading houses, but the end user demand kept weak, causing a week-on-week decrease of 130-140 yuan per tonne.
    CHINA REBAR: End-user demand remains weak; replenishment demand rises
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    Eastern China rebar prices were flat on Friday August 6 on rising demand from trading houses, but the end user demand kept weak, causing a week-on-week decrease of 130-140 yuan per tonne.

    Domestic

    Eastern China (Shanghai): ۵,۲۰۰-۵,۲۴۰ yuan ($804-811) per tonne, unchanged
    Northern China (Beijing) weekly assessment: ۵,۱۰۰-۵,۱۵۰ yuan per tonne, down by 150-170 yuan per tonne
    Heavy rain in Sichuan province and the southern region has caused weaker demand for rebar at construction sites, while demand for the product in other regions remained soft due to hot weather.
    But trading houses raised their procurement rates to replenish inventories following futures gains.
    The most-traded October rebar contract on the Shanghai Futures Exchange increased to a high of 5,445 yuan per tonne on Friday, a few minutes after afternoon trading opened.
    Market participants expect the replenishment demand to increase gradually because trading houses need sufficient rebar stock for sales in September and October, the seasonal peak months.

    Market chatter

    “The transportation time will increase because a few cities locked down the entrance to highways due to the rising Covid-19 cases, so some buyers will be cautious to book the product in case of overdue delivery,” an industry analyst said.
    China had 124 infection cases of Covid-19 confirmed on Thursday August 5, according to China’s National Health Commission.

    Billet

    As of 3pm, billet was trading at 5,130 yuan per tonne including value-added tax in Tangshan, unchanged from a day earlier.

    Shanghai Futures Exchange

    The most-traded October rebar futures contract closed at 5,379 yuan per tonne on Friday, up by 6 yuan per tonne from a day earlier.

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