In a brisk movement steel price levels have dropped by whopping 3% in the month of September alone in China. A swift change of sentiments price decline has suddenly picked up this month.

The steep decline stands in contrast to rather low but stable price levels in China during the summer.

Overproduction notwithstanding leading to inventory pile up and consequent pressure on price levels the sudden sluggishness can be imputed to mid- Autumn Holiday (6th-8th September) and ensuing National Holiday (1st-7th October) before which traders and stockiest indulge in destocking.

CLPPI – Chinese Long Product Price Index

CFPPI – Chinese Flat Product Price Index

CHISPI – Chinese Steel Price Index