Last week, China's scrap steel market showed strength amid volatility. Early last week, after a period of low volatility, ferrous metal futures rebounded, sparking a recovery in finished steel and billet prices. This renewed market confidence drove higher prices for scrap.

Recently, the rise in steel futures and spot prices further supported market sentiment, with some scrap suppliers withholding stock. However, with steel mill profits still unimproved and production low, the demand for scrap remained limited. Additionally, high inventories of finished products continue to pressure steel mills, offering minimal support for scrap steel prices. The market is expected to see adjustments and fluctuations this week.