Steel rebar contracts are moving in a positive way

On the Shanghai Futures Exchange, steel rebar contracts have risen for the third straight session. On the Dalian Exchange, iron ore futures are up more than 1 percent as some traders are betting the market will rebound on expectations of some stimulus for the economy in the near term.

The most traded are rebar contracts for delivery in October, which rose 0.3 percent to CNY 3,281 a tonne on the Shanghai Futures Exchange. Rebar futures rallied more than 2 percent a day earlier as hopes for stimulus in China rose the day after a poll that showed contract manufacturing activity increased in the first quarter of 2014.

The Iron and Steel Industry Association of China said that daily crude steel production growth in China was almost flat at 2,096,000 tons in the last days of March compared to the previous 10-day period, but a slight surge is expected in the coming days. Standard Bank strategist Melinda Moore said that "the induced market fluctuations are likely to continue in the future, given the conflicting demand conditions and the constant desire to increase cash, as well as further news of defaults, this time in the Jiangsu banking community."

Traditionally, all over the world, spring is a period of awakening of business activity, mainly associated with the expansion of construction projects, both public infrastructure and the private sector, and in anticipation of certain stimuli for the economy, this contributes to positive dynamics on the futures markets.