Steel reinforcement-bar futures in Shanghai advanced as China’s biggest producer of the building material maintained product prices.
Rebar for May delivery, the most-active contract on the Shanghai Futures Exchange, advanced as much as 0.6 percent to 3,635 yuan ($597) a metric ton, before trading at 3,622 yuan at 11:22 a.m. local time. Futures were poised for the first weekly gain since Nov. 1.
Jiangsu Shagang Co. kept the price of its rebar products unchanged at 3,650 yuan to 3,680 yuan, according to Shanghai Steelhome Information Technology Co. Shagang kept its prices unchanged for late November and mills have agreed to compensate key distributors for any losses on price drops, said Melinda Moore, an analyst at Standard Bank Plc in London, in a report yesterday.
“Major steelmakers maintaining their prices helps anchor sentiment,” said Cai Yuehui, an analyst at Ruida Futures Co. in Fujian.
Iron ore for May delivery on the Dalian Commodity Exchange was unchanged at 932 yuan a ton. Iron ore for immediate delivery at Tianjin port tracked by The Steel Index was little changed yesterday at $136.30 a dry ton.
Rebar for immediate delivery tracked by Beijing Antaike Information Development Co. was little changed yesterday at 3,533 yuan a ton.
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