MYSTEEL: Only output curbs can bolster Chinese steel prices

The pessimism prevailing in China's ferrous markets last month sent steel prices nationwide on a steep slide that will continue this month and only end when market participants regain their confidence, Mysteel's chief analyst Wang Jianhua predicts in his monthly outlook.

"However, the sharp and rapid price drop is not necessarily bad, because it's the only way to drag down raw materials prices and force steelmakers to cut production," Wang stated. "This could lay a more solid foundation for the recovery of prices later," he added. As of April 28, China's