HANOI-Steel prices in China fell to a more than three-month low on Wednesday, hurt by poor demand due to a weak construction sector in the world’s biggest consumer of the metal alloy.
Rebar on the Shanghai Futures Exchange (SHFE) fell as much as 1.1 percent to 3,471 yuan a metric ton, the lowest since April 8. The contract closed down 0.9 percent at 3,478 yuan.
Latest data from China showed domestic demand continued to recover at a slow pace, and construction data showed double digit percentage fall in the first five months of the year.
SHFE hot-rolled coil steel dropped to as low as 3,680 yuan a ton, also a level not seen since April 8. It ended down 0.7 percent at 3,681 yuan.
SHFE wire rod steel shed 0.8 percent to 3,660 yuan a ton and stainless steel dropped 1.4 percent to 13,930 yuan.
The most-traded September iron ore on China’s Dalian Commodity Exchange (DCE) declined 1.8 percent to 813 yuan a ton, while benchmark August iron ore contract on the Singapore Exchange dropped 3.4 percent to $107.70 a ton.
DCE coking coal fell 2 percent to 1,531 yuan a ton, and coke declined 1.1 percent to 2,215 yuan.
However, the price decline is seen limited.
