Comments() 
Print 
Mail 
Large Medium SmallBEIJING - China's steel price will probably fall slightly in December over waning demand, predicted Lgmi.com, a steel industry observing website on Wednesday.
Lgmi.com released its November "Steel PMI", the Purchasing Managers' Index for the steel sector. The reading was 45.2 percent, down 5.1 percentage points month on month.
A Steel PMI reading above 50 percent indicates expansion from the previous month, while readings below indicates contraction.
The weak Steel PMI in November means that steel prices are likely to fall in December.
The website said steel demand in December is usually weak, and steelmakers may face a strained money chain towards the end of the year. So they may choose to destock in order to cash in.
Contracted demand and increased supply will probably drag down steel prices, said Lgmi.com
The website surveyed some 1,000 purchasing managers from enterprises buying or selling steel products from 57 cities to calculate the Steel PMI.
Copyright 1995 - 2010 . All rights reserved. The content (including but not limited to text, photo, multimedia information, etc) published in this site belongs to China Daily Information Co (CDIC). Without written authorization from CDIC, such content shall not be republished or used in any form. Note: Browsers with 1024*768 or higher resolution are suggested for this site.
License for publishing multimedia online 0108263 Registration Number: 20100000002731 
