China’s traders more optimistic than producers

China’s traders more optimistic than producers

Steel traders in China are claimed to be more optimistic that steelmakers, but prices are destined to shrink further in early 2015, according to a report by China Metals.

The China Steel Price Index (CSPI), compiled by the China Iron and Steel Association (CISA) fell to 75.06 by end February, down 2.68% when compared with end January 2015. The index was 21.92% lower than a year earlier.

The price index of long steel dipped 2.72% month-on-month in February and steel sheet declined by 1.55%.

In fact, the price of eight major steel products continued to fall during February, but they were smaller declines than those reported in January.

According to the CISA, hot-rolled coil, galvanised sheet, cold-rolled sheet and medium plate fell by 107 yuan/tonne (US$17), 98 yuan/tonne (US$16), 91 yuan/tonne US$15) and 73 yuan/tonne (US$12) respectively.

During the first two weeks of March the CSPI slid marginally to 74.91 by 6 March and by 74.14 by 13 March.

Source: China Metals