Reuters reported that Shanghai steel futures rose more than 1% to their highest in nearly three weeks on Monday, chasing gains in Chinese equities, even as the outlook for steel demand remained bleak.
The most briskly traded October rebar contract on the Shanghai Futures Exchange rose 1.4% to CNY 4,792 per tonne by the midday break, just off the session-peak of CNY 4,798 and it’s highest since June 15.
The gains in rebar futures were in line with rises in Chinese equities and other Shanghai traded commodities including copper SCFcv1 and rubber said a trader in China eastern Shandong province.
The trader said "We're seeing some rebound but rebar will come down again because the steel market is weak. It's too hot to do any construction in China right now. Steel prices remain low in the physical market."
( Source: www.steelguru.com )