[SMM Steel]

According to SMM statistics, mill inventory and social inventory continued to diverge this period. Steel mill production declined, and mill inventory still saw a slight destocking, while social inventory continued to build up, though the pace of inventory buildup slowed. Total construction steel inventory stood at 8.4788 million mt, up 0.06% MoM, an increase of 5,400 mt.

The domestic ore market in Liaodong was generally stable today. Buyers were cautious in their inquiries, purchasing only for immediate needs, but some sellers held back from selling and held prices firm, reluctant to accept offers below their psychological expectations. Both sides were in a stalemate and stood on the sidelines, with trading thin. Demand side, steel mills were mostly incurring losses and had a strong desire to bargain down prices. Combined with maintenance at some mills, demand weakened in phases, exerting strong restraint on ore prices. However, ROM supply remained tight, and in the absence of notable positive external drivers, local ore processors had no production resumption plans in the near term.