Thanks, I will try to ignore the pests, hehe. A strange odd day...

Thanks, I will try to ignore the pests, hehe.

A strange odd day today, after 2 days of drop in Steel prices in China, volume picked up this morning, it was going at twice the rate of yesterday. After lunch, Tangshan billet went up by 40 yuan to 3100 yuan. Volume dropped a bit in the afternoon but still ended the day best since 16th of May. So demand is definitely there, if the price is not too high.

At the Future markets today, a lot of profit taking before the Chinese holiday next week, Bank of China is taking 400B yuan off the market this week, doesn't help the future with the out flow of capitals. If Steel market remain strong over the weekend, we should see future run back up again, especially Steel Rebar, the demand is quite strong ATM.

With regarding to IO port inventory, due to road restrictions around the Northern IO ports last few weeks, trucks were restricted in moving IO off the ports, as roads began to reopen, Steel Mills' IO inventory should be moved soon, might help with reducing the "excess" IO inventory at those Northern ports.

Here are some of the spot price today at various ports:

- Tangshan Ports: PB Fines 470/475/500 yuan; FMG 58% fines 360 yuan
- Tianjin Port: PB Fines 490; FMG 58% Fines 360
- Shandong Port: PB Fines 470/475; FMG 56% 340/355
- Qingdao Port: PB Fines 455-465; FMG 58% 350-360

Overall down around 3-7 yuan, volume ok.

DYOR.

Frank.