BEIJING/MANILA : Chinese stainless steel futures fell on Thursday as traders anticipated higher production this month after some key producing regions relaxed power curbs.
Planned stainless steel output in November is expected to rise 14.39per cent from a month earlier, analysts with GF Futures wrote in a note, citing data from Mysteel consultancy.
“Jiangsu and Fujian provinces have eased controls on power consumption, capacity at steel mills is gradually recovering,” according to GF Futures.
The most actively traded stainless steel contract on the Shanghai Futures Exchange, for December delivery, was down 1.3per cent at 18,310 yuan (US$2,864.47) per tonne, as of 0330 GMT.
Other steel prices on the Shanghai bourse also fell as demand at downstream sectors remains sluggish.
Construction rebar, for January delivery, dropped 1.8per cent to 4,255 yuan a tonne.
Hot-rolled coils, used in the manufacturing sector, slipped 1.4per cent to 4,647 yuan per tonne.
Prices for steelmaking raw materials, however, gained on the Dalian Commodity Exchange.
Benchmark iron ore futures inched 0.1per cent higher to 581 yuan a tonne.
Coking coal futures jumped 2.7per cent to 2,405 yuan per tonne.
Coke prices rose 0.3per cent to 3,124 yuan a tonne.
(US$1 = 6.3921 Chinese yuan)
(Reporting by Min Zhang in Beijing and Enrico Dela Cruz in Manila; Editing by Sherry Jacob-Phillips)
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