Steel reinforcement-bar futures in Shanghai headed for a quarterly loss as the Chinese government tightened credit and continued property-market curbs.
Futures for delivery in October dropped as much as 1.5 percent to 3,767 yuan ($607) a metric ton on the Shanghai Futures Exchange and were at 3,825 yuan at 10:30 a.m. local time. The most-active contract has lost 4.1 percent this quarter.
China aimed to implement unified property registration rules from 2014, according to a statement on the central government’s website yesterday. The move may be a precursor to a property sales tax and adds to wider economic concerns after the government also imposed restrictions on wealth-management products, said Zheng Ge, an analyst at Wanda Futures Co.
“The rebar market suffered another round of worries on the policy front,” Zheng said by phone from Beijing. “We think prices might fall further as inventory remains high and rebar won’t be able to stage a meaningful rebound without bullish expectations for the macro-economy.”
The average spot price of rebar was little changed at 3,669 yuan a ton yesterday, according to Beijing Antaike Information Development Co. Spot iron ore at Tianjin port was little changed at $137.30 a dry ton yesterday, according to The Steel Index Ltd.
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