MONTHLY: Supply-demand mismatch seen dragging China's HRC prices lower in Nov

China's prices for carbon steel hot-rolled coil (HRC) are likely to trend lower this month, Mysteel's monthly report on the commodity suggests. The protracted supply-demand mismatch in the hot coil market, elevated traders’ inventories as well as waning cost support are seen weighing on the flat steel’s prices this month, it says.

During October, many steel mills had observed temporary maintenance stoppages, with weekly hot coil production among the 37 Chinese steelmakers regularly surveyed by Mysteel falling by a marked 2.9% or 86,000 tonnes on week over October 8-14 to reach a multi-year low of 2.84 million tonnes. However, the overall output