SMM Daily Comment On Domestic HRC Market (Oct 7)

SHANGHAI, Oct 8(SMM) – HRC prices showed a downward trend yesterday and market transaction atmosphere was mute. Downstream buyers and traders were in a wait-and-see mood and traders’ shipment willingness was not high. HRC output reduction caused by maintenance rose in October. Thin profits of steel mills depressed production enthusiasm. Therefore, it is expected that the supply pressure in October will ease. In the short term, under the dual effects of the expectation of post-holiday replenishment and supply reduction, HRC prices are expected to run stronger and fluctuate. However, considering that long-term orders were still limited and downstream procurement was cautious, which suppressed HRC prices, HRC prices are estimated to mainly oscillate in a wide range.