SMM review and forecast for rebar market (Aug 7)

SHANGHAI, Aug 7 (SMM) –

Rebar futures market swung on a subdued note last Friday, closing down 0.64% at 3,736 yuan/mt, while spot market prices were down 10-50 yuan/mt. On the demand side, today's macro meeting released a negative signal, missing market expectations. Therefore, rebar futures market continued to fluctuate at a low level. The trading sentiment appeared moderate. With waning impact of the weather, production resumption was gradually seen, while rigid terminal demand was reported. With limited replenishing demand, the transaction picture throughout the day was generally weak. From the follow-up point of view, given waning impact of the positive expectations on policies, market focus was on the fundamentals. In spite of pick-up of demand this week, a slack seasonal demand will linger, and supply-demand fundamentals will be unbalanced. Rebar prices may continue to fluctuate at a low level.