Rebar Price Review in Jan

SHANGHAI, Mar 2 (SMM) - The prices of rebar continued to rise slightly in January, and as of the end of January, the average rebar price in China added 110-120 yuan/mt from the beginning of the month. The terminal demand fell periodically around the CNY. Steel mills and traders held their prices firm, thus the steel prices rose steadily in January.

In early January, steel mills got high production costs from the high-priced raw materials, pushing up the traders’ costs. The sellers insisted on high quotes, while the terminal demand was subsiding. The market only saw a small amount of rebar traded on rigid demand amid the firm spot rebar prices.

In mid-January, the prices of iron ore fell slightly affected by the macro policies. However, rebar prices ran steadily as the supporting real estate-related policies issued by the financial department boosted the market confidence.

In late January, the market trading was halted due to CNY, and the spot prices remained stable. The futures market was suspended on the first day after the CNY. Local governments intensively introduced major project plans for 2023. Encouraged by the lower-than-expected accumulated inventory during the CNY, spot rebar quotations rose again.