China's Sept steel output close to peak level

Beijing

CHINA'S daily crude steel production rose 1.3 per cent in September to the highest level in three months, according to data from its statistics agency.

This suggests that mills are still close to full capacity despite weak demand and a steep slump in prices. Persistently high output from the world's top producer could worsen prices of Shanghai rebar futures, which sank 13 per cent last month, and also dent spot iron ore prices that are reeling from a supply glut as global miners of the steelmaking ingredient push ahead with expansion plans.