Latest Update in the China Finished Steel Market

DCE iron ore futures market riseing sharply trends by 5.31%, the main contract closed 842.5. The spot quotation in the morning almost kept steady. but as the disk continues to rose, The traders increased 20-30 yuan/mt.

SHANGHAI, May 20 (SMM) - According to the National Bureau of Statistics, China’s run of mine (ROM) iron ore output was 85.79 million mt in April, down 9.5% from March.

SMM believes that steel mills will only be able to make profit after coke prices fall for one more round as steel products sales are still poor despite narrowing coking profits.

SHANGHAI, May 20 (SMM) - On May 19, China Iron and Steel Association released data, which showed that steel market demand was still lower than expected in April.

DCE iron ore futures continued to fluctuate by 0.18% in a day. the main contract closed 818. The spot quotation in the morning almost kept steady.

On the supply side, coke prices have dropped three times, with a total price reduction of 600 yuan/mt. Most coke enterprises have suffered a slight profit loss, while the operating rates remain at a high level.

The total inventory of HRC across social warehouses and steel makers in China stood at 3.68 million mt as of May 19, down 73,000 mt or 1.94% on the week, an increase of 6.49% on the year.

In Wuxi and Foshan markets, stainless steel spot prices dropped today. Prices of #304 stainless steel were lowered by about 100 yuan/mt, and the benchmark price was about 19,400-19,500 yuan/mt.