(Updates with closing prices)
BEIJING, Aug 16 (Reuters) – Chinese steel futures declined on Monday, with rebar leading the declines after falling to an over 10-day low, as slower-than-expected growth in industrial output and cooling construction activities in the country weighed on prices.
China’s industrial production rose 6.4% in July from the same month a year earlier, data from the National Bureau of Statistics showed, missing market expectations of 7.8% growth and slowing from an 8.3% surge in June.
The country’s property investment also grew at a slower pace in January-July compared with the first six months of the year, while new construction starts dipped 0.9% in the first seven months of 2021 from a year earlier, according to official data.
The most-active steel rebar contract on the Shanghai Futures Exchange, for January 2022 delivery, dropped as much as 2.8% to 5,290 yuan ($816.67) per tonne, the lowest since August 4. The contract closed 2.1% lower at 5,328 yuan a tonne.
Hot-rolled coils, used in the manufacturing sector, edged down 0.8% to 5,703 yuan a tonne.
Stainless steel futures on the Shanghai bourse slipped 1.2% to 18,105 yuan per tonne.
China’s crude steel output had declined for two straight months and stood at 86.79 million tonnes in July as Beijing reinforced production controls, data from the statistics bureau showed.
Prices for steelmaking ingredients on the Dalian Commodity Exchange were mixed.
Benchmark iron ore futures jumped 2.3% to 851 yuan a tonne.
Coking coal futures dipped 0.8% to 2,180 yuan per tonne.
Coke futures on the Dalian exchange were up 0.7% to 2,906 yuan per tonne.
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