Below is the brief near-term outlook of the five key steel products Mysteel shares on a weekly basis based on a series of related surveys and communication with market participants.
Rebar & wire rod: Construction steel prices are expected to soften moderately over April 27-30, as Chinese steel mills have been ramping up their output, which may outpace the restocking demand from the traders and downstream users ahead of the Labour Day holiday over May 1-5.
Hot-rolled coil: The weakness may extend from last week into the coming week, as market participants are still well wary of the market risks despite the planned maintenance among many flat steel producers that may lead to output declines in the near term.
Cold-rolled coil: The price may edge down marginally over April 27-30, as most traders may continue with the lower-prices-for-sales tactics, as they did over April 20-24, though their inventories have been inching down consistently.
Medium plate: The price is expected to soften further over April 27-30, as new orders to steel mills have been fluctuating, and recent imports of plates and slabs will continue to weigh down on domestic prices.
Sections: The price may be rangebound over April 27-30 amid the tepid downstream demand and steady supplies from the steel mills, and the price of billet, the crucial semi-finished steel, in Tangshan of North China’s Hebei province, slid Yuan 10/MT on week to Yuan 3,070/MT EXW including the VAT on April 24.
This article has been published under an article exchange agreement between Mysteel Global and SteelMint.
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