We’re all green today with physical chasing paper markets...

We’re all green today with physical chasing paper markets higher. Rebar futures joined the party. The BDI cape remains becalmed. Reuters has texture:
“The sentiment towards the second half for China has really improved but we still believe that the stimulus we have seen is minuscule and the property market remains tough,” said Helen Lau, senior mining analyst at UOB-Kay Hian Securities in Hong Kong.
Optimism over China’s economy rose after HSBC’s preliminary survey showed manufacturing activity there quickened to an 18-month high in July, suggesting that government measures to stimulate the economy had been effective.
Gains in steel prices came as Chinese traders’ inventories of steel products fell further to 13 million tonnes on Friday, based on data tracked by industry consultancy Mysteel.
That is the lowest stockpiles of steel held by traders since the last week of 2012, when they stood at 11.88 million tonnes, said Lau.
Inventories could fall further in the second half of 2014, as stockpiles did in 2012. If supported by strong end-user demand, that could sustain a rally in steel prices through early next year as it did in 2012 through early 2013, said Lau.