Steel Price rebounds from yearly low as risk-aversion ebbs, recession fears favor bears

Steel Price consolidates weekly losses amid Friday’s sluggish Asian session as risk-off sentiment recedes amid a light calendar and lack of major events. However, the industrial metal bears remain hopeful as pessimism surrounding the demand outlook, as well as fears of further supplies, remains intact.

That said, the most active rebar contract on the Shanghai Futures Exchange (SFE) rises to 4,230 yuan per metric tonne (mt), up 1.30% on a day by the press time. It’s worth noting that the stated October 2022 expiry bearing contract slumped nearly 500 yuan/mt during the week while dropping to the lowest levels since December 2021 the previous day.