SHANGHAI, Sep 6(SMM) – HRC futures fluctuated and fell to 3,908 yuan/mt at closing, down 0.38% from the previous trading day. Spot market quotations in mainstream cities fell slightly. According to SMM research, on September 6, the blast furnace operating rate was 93.46%, an increase of 0.3% WoW.
Demand has not yet picked up notably, even as September traditionally marks the beginning of the peak season. With raw material price rise far outpacing steel price, steel mills’ profits have shrunk. Pig iron production could potentially fall back, threatening to cap future gains of iron ore price. Coke price may hold stable, supported by domestic coal mine accidents and falling overseas shipments. While a series of macro policies have boosted market confidence, it takes time for the positive impact to be passed onto steel demand. In view of ample supply and weak demand, HRC prices are at downside risk. Market players need to keep a close eye on demand recovery in the peak season.
![[SMM Balance Semanal de Materiales de Construcción] Mejora el ambiente de negociación del mercado, la liberación de la demanda rígida no cumple las expectativas](https://imgqn.smm.cn/usercenter/JdqON20251217171718.png)
