BEIJING- Chinese steel futures fell for a second session on Monday amid expectations for slowing consumption and as robust output from mills added to supply of the metal.
The most-active construction steel rebar contract on the Shanghai Futures Exchange (ShFE), for January delivery, slipped 0.2 percent to 3,287 yuan ($465.15) a ton.
ShFE futures for hot-rolled coil, used in cars and home appliances, was almost unchanged from the previous session at 3,286 yuan a ton.
Singapore-based steel and iron ore data analytics firm Tivlon Technologies expects steel consumption to cool with the coming of November, when construction slows down with the approach of colder weather during the Northern Hemisphere winter.
“But steel supply seems pretty robust as mills as using more direct charge material like lumps and pellets to maintain production, despite the sintering cuts,” said Darren Toh, data scientist with Tivlon.
The most-traded iron ore on the Dalian Commodity Exchange, for January 2020 delivery, dipped 0.4 percent to 607 yuan a ton.
Meanwhile, London copper hit its highest in a month as concerns over supply mounted amid intensifying unrest in top producer Chile and as hopes grew of a US-China trade deal. – Reuters