Dec. 10 (Bloomberg) -- Steel reinforcement-bar futures in Shanghai declined for the first time in three days as a rally to the highest in almost two months spurred some selling amid concern that consumption will weaken in winter.
Rebar for May delivery, the most-active contract on the Shanghai Futures Exchange, dropped by 0.2 percent to close at 3,716 yuan ($612) a metric ton. The contract touched 3,737 yuan earlier, the highest intra-day level since Oct. 15.
Construction activity in China normally slows in winter, crimping demand for the building material in the world’s biggest user, said Dang Man, an analyst at Maike Futures Co. in Xi’an.
“Some investors took profit amid an outlook for weak demand in the near future,” Dang said. “The market needs to take a breather after the recent rally.”
Iron ore for immediate delivery at Tianjin port tracked by The Steel Index gained 0.1 percent to $139.40 a dry ton yesterday. Futures for May delivery on the Dalian Commodity Exchange fell 0.3 percent to close at 942 yuan a ton.
Rebar for immediate delivery tracked by Beijing Antaike Information Development Co. was little changed at 3,554 yuan a ton today.
--Feiwen Rong. Editors: Sungwoo Park, Jarrett Banks