SMM Daily Comment On Domestic Rebar Market (Sep 22)

SHANGHAI, Sep 25 (SMM) – Rebar future prices fluctuated and closed at 3779 yuan/mt, down 0.50% from the previous trading day. Spot prices oscillated weakly throughout the day. The Ministry of Ecology and Environment issued a notice soliciting public opinions on the action plan for comprehensive air pollution control in autumn and winter in Beijing, Tianjin, Hebei, and surrounding areas. Affected by financial speculation and macro news, rebar price decline gradually narrowed. The trading atmosphere recovered slightly, terminal procurement mostly continued the on-demand strategy, and trading volume improved compared to the previous trading day. Looking forward, the fundamental imbalance was not prominent, so the risk of a short-term structural decline in steel prices was low. There is still an upward driving force before the holiday driven by demand increment. After the holiday, buyers need to be alert to weakening cost support and inventory accumulation.