China's scrap steel market expected to face short-term fluctuations
Time:Fri, 15 Nov 2024 09:51:07 +0800
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On November 14, the Chinese ferrous metal futures market continued its upward trend, bolstered by a rebound in construction steel billet prices, which helped boost market sentiment. As a result, some traders increased scrap steel prices by CNY20-30 per ton.
Despite the price increases, industry players expressed cautious optimism, as some end-user projects may slow down later in the month. Besides, with seasonal declines in steel demand from end-users and narrowing profit margins for steel mills, there is an expectation that production levels will rise in the short term.
Overall, while macroeconomic disruptions appear to have eased, the market is returning to its fundamentals. The sustainability of the recent price increases remains uncertain, and short-term fluctuations and consolidation are expected in China's domestic scrap steel market.
