Posts Tagged ‘rebar’

Chinese Steel Futures Swing to Losses on Week Demand

Monday, July 25th, 2016

Chinese steel futures swung to losses after a moderate gain on Monday (July 25) as cooling demand in flood-hit regions outweighed output cuts in a key industrial region.

Spot steel prices in some northern regions fell after the floods interrupted transportation and sales as well as hit demand, despite a mandated output cut in Tangshan, a key steel producing area, traders said.

“The positive news is a bigger output cut, particularly for coking plants, in Tangshan, but demand has also been hit by floods in some regions. The market could be volatile this week,” said Yu Yang, an analyst with Shenyin & Wanguo Futures in Shanghai.

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Chinese Commodities Rally on Hopes of Stimulus to Boost Economy

Monday, July 4th, 2016

Chinese commodities from nickel to cotton surged on Monday (July 4) on hopes Beijing will unleash more stimulus to prop up a sluggish economy, brightening the outlook for raw material demand.

An official survey on Friday (July 1) pointed to China’s weak manufacturing sector in June with export orders and inventories falling and factories shedding more workers.

“There are headwinds in the domestic market and exports and for the government to achieve its macroeconomic targets they need to focus on more stimulus in the second half of the year. That will be good for commodity demand,” said Helen Lau, an analyst at Argonaut Securities in Hong Kong.

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