Steel futures up on hopes of demand recovery

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    BEIJING- Steel futures in China gained in early trade on Tuesday, with benchmark rebar rising for the third consecutive session on expectations of recovering demand in the construction sector in coming months.

    The most-traded October contract for steel rebar on the Shanghai Futures Exchange, used as construction materials, increased 0.6 percent to 3,812 yuan ($551.55) per ton.

    Hot-rolled coil, used in cars and home appliances, gained 0.7 percent to 3,974 yuan a ton.

    “Overall high-supply and high-inventory situation has not changed yet,” Huatai Futures wrote in a note. “(But) August is peak season for bond issuance, while new construction starts are still growing on an annual basis… the consumption is set to be expected.” — Reuters