Ex-China cold rolled coil (CRC) prices from mills have moved mainly sideways over the past period, however, offers from traders have increased slightly, mainly supported by higher local CRC prices and more gains in futures HRC prices.
More specifically, ex-China CRC offer prices from mills have been at $535-555/mt FOB this week, moving sideways on average week on week, while the tradable levels for ex-China CRC have been heard at $535-545/mt FOB, up by $5/mt on the lower end of range week on week.
During the given period, HRC futures prices have seen rises, positively affecting CRC market. Since the traditional peak season is approaching to the end, market players started to be cautious as regards the future prospects for the CRC market. Traders slowed down their restocking pace, weakening the support to CRC prices to a certain degree. However, raw material prices, including coking coal and coke, have increased, providing solid support to CRC prices from cost side.
Average domestic 1.0 mm cold rolled coil spot prices in China are at RMB 3,550/mt ($508/mt) ex-warehouse, increasing by RMB 17/mt ($2.4/mt) week on week, according to SteelOrbis’ information.
As of October 30, HRC futures at Shanghai Futures Exchange are standing at RMB 3,318/mt ($467/mt), increasing by RMB 62/mt ($8.7/mt) or 1.9 percent since October 23, while down 0.33 percent compared to the previous trading day, October 29.
$1 = RMB 7.0864
