According to the SMM survey, the impact from maintenance on construction steel increased during this period (8.3-9.5), as some blast furnace steel mills implemented rotational shutdowns of their rebar rolling lines due to production restrictions for the military parade. The impact from maintenance on construction steel reached 1.2374 million mt this period, up 18,300 mt MoM.

Malaysia’s rebar market has recently remained firm, with prices showing a steady-to-strong trend. This round of price support is primarily driven by a significant rise in production costs combined with a tightening supply structure, jointly pushing up overall market levels.

This week, the ferrous metals series exhibited a "V"-shaped trend. On Monday, futures continued to consolidate at high levels amid rumors of a coal mine accident from the previous Friday and Shanghai's property market easing policies. However, some mine-related rumors were debunked, with limited impact on actual production, while the fundamentals of finished steel remained weak, leading to a mid-week pullback in futures from elevated levels. Approaching the weekend, market rumors suggested China would push for steel production cuts in 2025 and 2026, prompting bears to temporarily retreat, though upward pressure on the ferrous complex remained evident. On the spot market, during the transition between peak and off-seasons, end-use demand appeared yet to materialize......

SMM survey, for the period (8.23-8.29), the impact from maintenance on construction steel decreased as several steel mills resumed production of blast furnaces and associated rebar rolling lines. The impact from maintenance on construction steel was 1.2112 million mt, down 72,900 mt MoM.

This week, the ferrous metals series saw a high-level correction. At the beginning of the week, the market was abuzz with news that blast furnaces in Tangshan would be subject to 40% production restrictions by capacity at the end of August, leading to a pullback in raw material prices. Although a decline in production is beneficial for finished products, the collapse of cost support pushed these products to their lowest levels in nearly a month. In the latter half of the week, rumors circulated about stricter enforcement of order inspections, and actions were already being taken at southern ports, resulting in a more pronounced drop in HRC compared to rebar, narrowing the spread between the two. In the spot market, when the spot-futures price spread narrowed, there was still speculative demand for long positions, but the hot and rainy weather suppressed the recovery of end-use demand...

This week, the ferrous metals series continued its trend of rising first and then falling. In the first half of the week, news about safety inspections and production restrictions of coking coal and coke led to a sharp increase in coking coal and coke prices, driving a rebound in the ferrous metals series from low levels. In the second half of the week, the market's expectation that new coal mine safety regulations would lead to the closure of small and medium-sized coal mines did not materialize. Coupled with an increase in transaction fees and the expectation that the Dalian Commodity Exchange (DCE) would cool down the coking coal market, the follow-up market trend ended, and the futures market experienced a deep correction. In the spot market, transactions were moderate in the first half of the week, but most were driven by speculative demand for calendar spreads, while end-user demand remained in the off-season...

This week, the total inventory of rebar was 5.5104 million mt, increasing by 276,200 mt WoW, with a WoW growth rate of 5.28% (previous value: +1.97%). Compared to the same period of the lunar calendar last year, it decreased by 550,200 mt, with a decrease rate of 9.08% (previous value: -18.51%).

The planned rebar production for August was 8.776 million mt, an increase of 114,700 mt compared to the actual production in July, representing a growth rate of 1.32%; The planned wire rod production for August was 3.4541 million mt, a decrease of 65,700 mt compared to the actual production in July, representing a decline rate of 1.87%.

This week, the ferrous metals series rebounded from a low position but then saw some pullback. In the first half of the week, the main driving force for the market rally was coking coal. The further advancement of coal capacity verification led to a rise in coking coal futures, driving an overall rebound in the ferrous metals series. Market sentiment reached a new high amid rumors of production restrictions during the military parade and crude steel output reduction. In the second half of the week, the rumors cooled down, coupled with poor performance in supply and demand data for finished steel products, futures began to pull back. In the spot market, trading was moderate in the first half of the week, but mostly driven by speculative demand for calendar spreads. The performance of end-users remained generally lackluster...