Ex-China cold rolled coil (CRC) prices have edged down slightly over the past week.
More specifically, ex-China CRC offer prices from mills are at $570-575/mt FOB this week, down by $2.5/mt on average week on week, while the tradable levels for ex-China CRC have been heard at $565-570/mt FOB, versus $565-575/mt last week.
During the given week, CRC prices in the Chinese domestic market have indicated declines amid decreasing HRC futures prices. Meanwhile, cautious sentiment prevailed among market players, resulting in unwillingness to conclude purchases. Traders have lacked confidence regarding the future prospects for the CRC market, and therefore they chose to sell at lower prices in order to destock. Moreover, the widespread rainy weather negatively affected demand for CRC, especially in Guangdong Province, and even declining inventories could not stop prices from decreasing. It is thought that CRC prices in the Chinese domestic market will continue to edge down in the coming week.
Average domestic 1.0 mm cold rolled coil spot prices in China are at RMB 3,653/mt ($535/mt) ex-warehouse, decreasing by RMB 17/mt ($2.5/mt) week on week, according to SteelOrbis’ information.
As of May 27, HRC futures at the Shanghai Futures Exchange are standing at RMB 3,363/mt ($492/mt), decreasing by RMB 55/mt ($8.1/mt) or 1.6 percent since May 20, while decreasing by 0.50 percent compared to the previous trading day, May 26.
$1 = RMB 6.8291
