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Further declines recorded in Chinese futures markets on November 30

Wednesday, 30 November 2016 12:21:13 (GMT+3)   |   Shanghai
       
On Wednesday, November 30, coke prices (main contract J1701) at Dalian Commodity Exchange (DCE) opened the day at RMB 2,074/mt and closed at RMB 2,078/mt, which was down 2.19 percent compared to the previous day’s settlement price of RMB 2,125/mt. Also at DCE, iron ore futures prices (main contract I1701) opened at RMB 628/mt and closed at RMB 598/mt, down 7.93 percent compared to the previous day’s settlement price of RMB 650/mt. 
 
Meanwhile, on November 30, rebar futures prices (main contract RB1701) at Shanghai Futures Exchange (SHFE) opened at RMB 2,994/mt and closed at RMB 2,907/mt, decreasing by 7.01 percent from the settlement price of RMB 3,126/mt on November 29. Hot rolled coil (HRC) futures prices (main contract HC1701) at SHFE opened the day at RMB 3,423/mt and closed at RMB 3,295/mt, declining by 7.03 percent compared to the previous day’s settlement price of RMB 3,544/mt.
 
Coking coal prices (main contract JM1701) at Dalian Commodity Exchange (DCE) opened on November 30 at RMB 1,582/mt and closed at RMB 1,501/mt, down 5.51 percent from the previous day’s settlement price of RMB 1,589/mt.
 
DCE and SHFE have issued new regulations to curb speculation, impacting sentiment among market players. Meanwhile, China is implementing month-long environmental supervision in Beijing, Shanghai, Chongqing, Guangdong Province, Hubei Province and Shaanxi Province as of November 29 as approved by China’s State Council. It is expected to result in less construction work at construction sites and to reduce demand from downstream users, exerting negative pressure on futures prices. 
 
Note: All comparisons are between the closing price on the date in question and the settlement price of the previous day.

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