* Steel traders may restock after end of G20 summit
* Dalian iron ore slips at close, but above 1-month trough
By Manolo Serapio Jr
MANILA, Sept 5 Chinese steel futures advanced on
Monday, supported by expectations that seasonal demand in the
world's top steel consumer will pick up this month along with
The end of the G20 summit in China may also spur restocking
of the building material among end-users that had been cut off
from some suppliers over the past few weeks. Steel mills around
the eastern city of Hangzhou were closed ahead of the gathering
of world leaders in a bid by Beijing to improve air quality.
"Prices may renew their upward momentum as we have entered
September, which is usually the peak season for steel
consumption," said Richard Lu, Beijing-based analyst for CRU
Lu said end-users may not only replenish steel inventories
after the G20 meeting ends on Monday, but also ahead of a
week-long break for China's National Day in early October.
"Traders typically store some steel inventory for sale after
the Golden Week holiday but this did not happen last year.
However, the sentiment this year is much better than last year,"
The most-traded January rebar on the Shanghai Futures
Exchange closed up 0.4 percent at 2,436 yuan ($365) a
tonne, but off the session's high of 2,463 yuan.
The construction steel product had touched 2,362 yuan on
Sept. 1, its lowest since Aug. 1.
On the Dalian Commodity Exchange, the price of steelmaking
raw material iron ore dropped at the close after
rising more than 1 percent intraday.
The contract eased 1.3 percent to 418.50 yuan a tonne, but
still above last week's one-month trough of 408 yuan.
Supporting iron ore, inventory of the commodity at major
Chinese ports dropped 1.3 million tonnes from the previous week
to 103.8 million tonnes as of Sept. 2, based on data tracked by
SteelHome consultancy. SH-TOT-IRONINV
That marked the fifth weekly consecutive decline in China's
imported iron ore stockpiles, which had peaked at 106.05 million
tonnes in July, the most since December 2014.
($1 = 6.6768 Chinese yuan)
(Reporting by Manolo Serapio Jr.; Editing by Tom Hogue and