- Buyers await more workable export price levels
- Falling coke inventories add pressure on sentiment
Chinese billet prices declined by RMB 10/t ($1/t) d-o-d to RMB 3,090/t ($454/t) on 15 May, while rebar futures also decreased by RMB 10/t ($1/t) to RMB 3,171/t ($466/t).
Market sentiment weakened amid softer commodity markets across Asia, sluggish steel demand, and expectations of higher steel output in the coming weeks as mills’ margins improved.
Market participants also noted that local billet prices softened after Chinese HRC prices ended a four-week rally, while weaker raw material sentiment and falling coke inventories added further pressure on steel prices.
Meanwhile, billet export offers from China were heard around $485/t FOB, while export activity remained largely unchanged as buyers awaited more workable price levels.
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