Rebar Futures FLuctuate Downward while still Have Upside Momentum

SHANGHAI, Feb 28 (SMM) - Rebar futures fluctuated downward yesterday, with a decrease of 0.64% throughout the day. Last weekend, Tangshan and Handan launched a level II emergency response to heavily polluted weather, which actually had a limited impact on production. But under the influence of market sentiment, iron ore prices fell sharply, and rebar futures followed suit. In terms of spot goods, the resumption of construction sites boosted the rigid demand and the transactions of low-priced goods were active. But the futures market was weak, and the speculative demand turned cold slightly.

On the demand side, real estate projects have no obvious signs of recovery in the short term, but resumed actively, giving bottom support to the rebar demand. On the supply side, the profits of steel mills have slightly recovered, and some steel mills may resume in March. But short-term supply growth is slow. On the macro front, the Two Sessions will be held this weekend, and the market is looking forward to the release of favourable policies. It is expected that rebar futures prices still have upside momentum after the short-term price falls.