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Spot prices of hot-rolled coil mostly rose 30-90 yuan/mt on Monday April 23, driven by more active transactions than last Friday. 

Buoyed by a surge in steel prices and higher offers for billet, prices of hot-rolled coil in Lecong gained almost 100 yuan/mt to 4,090 yuan/mt on April 23. 

The regional price gaps among three major markets Shanghai, Lecong, and Tianjin narrowed as prices rose across the board. 

In the near term,  the Lecong market may reverse its weak performance in the past month, as inventories see a larger decline and traders show more willingness to transact on higher profits. The price hit a low of 3,755 yuan/mt at the end of March and mostly hovered below 3,900 yuan/mt during the last month.

As traders continued to make bookings due to decent profits amid relatively tight supplies, the volume of deliveries to these markets is likely to grow in the near term. However, given that deliveries take time, some are concerned that risks may develop as inventory piles up on slower demand in the upcoming low season.

Source: from internet

• [Editor:Wang Linyan]