According to data released by China Steel Logistics Professional Committee of CFLP, the purchasing manager’s index of the Chinese steel sector rose 8.4 percentage points from a month earlier to 52.6% in April, the first reading above 50% since September last year.
Both new orders and new export orders indexes were above the 50% level and purchasing price index saw a big rebound from low level, showing signs of a recovery in China’s steel market which remained in recession for a long period of time.
Chinese steel prices were flat for the day. The price of iron ore 58% fines from India hit a high price of CNY 840.00 ($134.88) and a low price of CNY 830.00 ($133.28) per dry metric ton. The price of Chinese HRC saw little movement at CNY 3,360 ($539.53) per metric ton. The price of Chinese coking coal was unchanged at CNY 1,390 ($223.20) per metric ton.
The steel billet cash price saw essentially no change on the LME for the fifth day in a row, remaining around $390.00 per metric ton. The steel billet 3-month price remained essentially flat at $400.00 per metric ton on the LME.
The US HRC futures contract 3-month price held steady around $637.00 per short ton. The spot price of the US HRC futures contract saw little movement last Friday, closing out around $684.00 per short ton.