CHINA HRC: Domestic prices rise as futures rebound on coal supply concerns

Hot-rolled coil prices in China’s domestic market cruised higher on Wednesday June 23, with coking coal supply concerns actin as support and helping to stem the decline in steel futures prices.

Domestic
Eastern China (Shanghai): 5,280-5,380 yuan ($814-830) per tonne, up by 10-70 yuan per tonne.
The most-traded HRC contract on the Shanghai Futures Exchange climbed more than 1% to an intraday high of 5,219 yuan per tonne before falling back to end the day flat from Monday’s close.
The temporary rebound in HRC came as other ferrous prices rose across the board.
Futures prices for steelmaking raw materials - iron ore, coke and coking coal - all increased for a second straight day on Wednesday, gaining at least 3%, as market participants shifted their focus from Beijing’s latest attempt to temper commodity market speculation to coal supply shortages, a Hangzhou-based trader told Fastmarkets.

On Monday June 21, China’s...

Published

Zihuan Pan

June 23, 2021

11:20 GMT

Shanghai