Ex-China cold rolled coil (CRC) prices have remained relatively stable over the past week in line with the slow domestic market as the holiday mood increases.
More specifically, ex-China CRC offer prices from mills have been at $530-555/mt FOB this week, compared to $530-550/mt FOB last week, while the tradable levels for ex-China CRC have been heard at $525-530/mt FOB, the same as last week.
According to sources, trade activity has remained limited, though offers for ex-China CRC have been voiced in the UAE at around $540-560/mt CFR, up by $10/mt on the higher end of the range week on week.
During the given week, CRC prices in the Chinese domestic market have moved sideways during the traditional cold winter offseason. Since the Chinese New Year holiday (January 14-23) is approaching, some players have started to leave the market, resulting in quiet transaction activity. The purchasing activities of downstream users have slowed down, exerting a negative impact on CRC prices. Inventories of CRC have been consumed slowly, which may negatively affect prices. It is thought that CRC prices in the Chinese domestic market will likely fluctuate within a limited range in the coming week.
Average domestic 1.0 mm cold rolled coil spot prices in China are at RMB 3,503/mt ($501/mt) ex-warehouse, remaining stable week on week, according to SteelOrbis’ information.
As of January 28, HRC futures at Shanghai Futures Exchange are standing at RMB 3,280/mt ($475/mt), decreasing by RMB 6/mt ($0.9/mt) or 0.18 percent since January 21, while down 0.39 percent compared to the previous trading day, January 27.
$1 = RMB 6.9755
