SHANGHAI, Sep 11 (SMM) – Spot prices of rebar extended their rally across major Chinese markets on Tuesday September 10, as downstream consumers stepped up purchases on concerns about lower supplies and as market sentiment was limitedly affected by construction suspension in Zhengzhou.
All construction sites in Zhengzhou of Henan province had been ordered to shut down as the 11th Chinese Ethnic Games would be held in the city during September 8-16. This failed to depress local prices of rebar, however, which continued to increase 10-20 yuan/mt on Tuesday, buoyed by higher prices in nearby markets amid brisk trades.
Spot prices of rebar in Beijing held steady on Tuesday, with offers by Hebei Iron and Steel at 3,660 yuan/mt. Market talk suggested that construction work in Beijing will be halted from September 15, but an official notice has yet to be released, SMM surveyed.
Traffic regulations controlled the flow of cargoes to Beijing, but caused little impact on deliveries departing the city, SMM learned.
SMM assessment showed that the average prices of rebar across Chinese markets climbed 11.3 yuan/mt on Tuesday September 10, to stand at 3,843 yuan/mt, after they grew 33.7 yuan/mt on Monday.