CHINA REBAR: Participants expect prices to drop from next month

摘要

China’s domestic rebar prices were flat on Thursday November 21 amid weak futures, little trading and fears prices will drop in the next month due to poorer demand but higher supply. ? Eastern China (Shanghai): 4,080-4,120 yuan ($580-585) per tonne, unchanged ? Northern China (Beijing): 3,760-3,790 yuan per tonne, unchanged Rebar futures dropped on Thursday after consecutive rises over the previous five trading days, causing buyers to adopt a wait-and- see posture, sources said. Most participants said they thought spot prices are set to drop next month due to the increasing supply in the northern, eastern and southern regions of the country. Contractors normally cut rebar procurement rates in December and focus more on year-end settlement, which puts additional pressure on prices, a trader in eastern China said. However, current tight supply means prices are thought unlikely to retreat in the immediate coming days.