Steel reinforcement-bar futures pared the first weekly gain in four after China’s biggest steelmaker cut product prices for the first time in nine months.
Rebar for delivery in October on the Shanghai Futures Exchange fell as much as 0.9 percent to 3,587 a metric ton ($584) and was at 3,611 yuan at 11:24 a.m. in Beijing. The most-active contract has climbed 0.8 percent this week.
Baoshan Iron & Steel Co. (600019) cut rates of hot-rolled products for June delivery by 180 yuan a ton and of cold-rolled products by 150 yuan, according to information posted on its website yesterday. The last time Shanghai-based Baoshan cut prices was on Aug. 10 for September delivery, according to data compiled by Bloomberg.
“Baoshan Steel cutting price reflects its bearish view on the market, which counters optimism seen earlier this month,” Shi Yuchen, an analyst at Guoxin Futures Co., said by phone from Shanghai.
The average spot price for rebar was unchanged at 3,593 yuan a ton yesterday, according to Beijing Antaike Information Development Co. Spot iron ore at Tianjin port was little changed at $130.20 a dry ton, Steel Index Ltd. data show.