Ex-China CRC prices have moved sideways over the past week though sentiments have improved in the market given the recovery of HRC futures prices and of domestic CRC prices, coupled with the impact of Tomb Sweeping Day in China.
At present, export offers for CRC given by major Chinese mills are at around $605-610/mt FOB, for May shipment, remaining at a relatively stable level as compared to last week. Meanwhile, the tradable levels for ex-China CRC have been heard at around $605/mt FOB, up by $3/mt on the lower end of the range compared to last week.
During the given week, supply of CRC has been at a relatively high level, exerting a negative impact on prices. At the same time, demand from downstream users has improved slightly, providing some support for CRC prices in the Chinese domestic market. Inventories of CRC are being consumed slowly, while cautious sentiments still prevail among market players. It is thought that CRC prices in the Chinese domestic market will edge up slightly in the coming week.
Average domestic 1.0 mm cold rolled coil spot prices in China are at RMB 4,097/mt ($577/mt) ex-warehouse, increasing by RMB 57/mt ($8/mt) compared to April 3, according to SteelOrbis’ information.
As of April 10, HRC futures at the Shanghai Futures Exchange are standing at RMB 3,741/mt ($527/mt), increasing by RMB 82/mt ($11.5/mt) or 2.2 percent since April 3, while down 0.21 percent compared to the previous trading day, April 9.
$1 = RMB 7.0959
