SHANGHAI, Mar. 18 (SMM) - The first session of the 12th National People's Congress elected new leadership of the government. Financial market thus pulled up. Shanghai high speed wire rod prices and Nanjing third grade rebar prices rose by RMB 60-80/mt, with increases in other regions between RMB 10-30/mt. Billet prices jumped by RMB 60/mt, gaining back early losses. Demand from building sites and traders also improved. Some steel plants reported orders had returned to normal levels recently. Some building sites remained cautious due to the lack of significant positive policies.
Steelease sources report some cargo holders were unwilling to discount goods due to high costs, while some others took a wait-and-see attitude, and some hope to stimulate downstream purchases by holding goods. Steelease believes supply pressure will not be released any time soon, and cargo holders with high inventories can sell goods at higher prices, while those with low inventories should remain cautious.
Shanghai: High speed wire rod prices rose further by RMB 60/mt, with RMB 3,480/mt, and transactions brisk. Discounts of RMB 20-30/mt for rebar were eliminated.
Hangzhou: Resources from Shasteel rose by RMB 30/mt, to RMB 3,660/mt. Most cargo holders held goods.
Nanjing: Third grade rebar prices rose by as much as RMB 80/mt, with RMB 3,800/mt at Yonggang Group. Many market players were holding goods.
Guangzhou: Prices were mixed. A small number of traders raised prices by RMB 20-30/mt, but most distributors lowered prices by RMB 10-20/mt to sell goods.
Nanning: Quotes stabilized, and transactions improved.
Beijing: Quotes were raised by RMB 20/mt, with transactions improving. Large cargo holders reduced supply or held onto their goods.