HRC Futures will Fluctuate Widely amid Verification Period of Demand

SHANGHAI, Feb 28 (SMM) - HRC futures fluctuated widely yesterday and closed with losses of 0.16%. The transaction in the spot market weakened significantly amid the wait-and-see sentiment and some traders shipped at low prices. Due to the news of power cut in Hebei, the prices of iron ore fell sharply yesterday and the prices of HRC followed suit. However, this round of power cut is mainly targeted at sintering machines, which has little impact on the demand for iron ore. Coupled with the news of the coke price hike, the cost support of HRC is still relatively stable.

Steel demand is in the verification period approaching the Two Session. In the short term, the prices of HRC will continue to fluctuate in a wide range.