 "Little cheer for steel sector as analysts maintain a cautious view")
The news of a cut in Chinese steel capacities and falling coal prices led to a rally in steel stocks with the likes of JSW Steel, Tata Steel, SAIL and Bhushan Steel gaining 4-11% on the bourses on Wednesday.
The Chinese government has decided to close all medium frequency furnaces which account for about 9% of low quality steel capacity which is a smaller part of total Chinese steel capacity of 1.13 billion tonnes.
The Chinese government has decided to close all medium frequency furnaces which account for about 9% of low quality steel capacity which is a smaller part of total Chinese steel capacity of 1.13 billion tonnes.
Analysts remain cautious on the development as they will be watching if it can lead to reduced output from China. Steel capacities being cut
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