Reuters reported that China steel futures touched one month lows on Monday, reflecting a sluggish market that has cut the appetite for raw material iron ore and prompted mills in the world's top steel producer to curb output.

The most active steel rebar contract for October delivery on the Shanghai Futures Exchange fell by 0.6% to close at CNY 4,044 a tonne. It hit a session trough of CNY 4,028, its lowest since June 4.

Data showing factory activity in China hitting its lowest in seven months is expected to keep the steel demand outlook weak and prices under pressure, as shrinking new orders and the steepest fall in export orders since December suggested no immediate pick up for the world's second biggest economy.

Source - Reuters

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