Maintenance at Chongqing Iron & Steel to impact HRC output by 10,000 mt/day

The total inventories of HRC stood at 2.925 million mt, up 3,600 mt or 0.12% on the week, and down 12.05% on the year.

Shanghai base metals all cruised higher on Friday morning after the head of the Federal Reserve told Congress he saw no need to rush the shift towards tighter post-pandemic monetary policy. Meanwhile, their counterparts on the LME mostly cruised lower.

Shanghai base metals were mostly higher on Monday morning as investors digested a better-than-expected US jobs report. Meanwhile, their counterparts on the LME fell for the most part.

Shanghai base metals mostly cruised lower on Tuesday morning despite gains overnight on Wall Street that saw the S&P 500 and Nasdaq Composite touching fresh record closing highs. Meanwhile, their counterparts on the LME traded mixed.

Nonferrous metals on the SHFE were mostly higher on Thursday morning on a positive note following record gains on Wall Street after the US Federal Reserve’s policymaking committee voted to keep short-term borrowing rates near zero. Meanwhile, their counterparts on the LME also rose for the most part.

China HRC stocks across social warehouses and steel makers started to fall this week amid lower output and improving end-user demand, ending a nine-week winning streak.

Shanghai base metals were mostly higher on Monday morning as investors reacted to last week’s US jobs report that trounced expectations and fueled hopes for a faster economic recovery. Meanwhile, their counterparts on the LME rose across the board.

Major Chinese steelmakers are expected to see 151,000 mt of their hot-rolled coil (HRC) deliveries arriving at Shanghai, Lecong and Tianjin, three major Chinese markets this week, slightly up 3,000 mt from last week, showed an SMM survey.

Most steelmakers in China continued to maintain full operations and the impact of maintenance on output will further reduce from a month ago in June, driven by existing profits of rebar.

Output of cold-rolled steel (including galvanised steel) at Benxi Iron & Steel is expected to reduce 158,000 mt in May as the steelmaker plans to put a cold rolling mill into maintenance this month, sources told SMM.