During the given week, ex-China rebar offer prices have indicated a decreasing trend compared to the previous week, which put pressure on moods in SE Asia. However, Malaysian mill has been holding its offers stable so far and waiting for further development, as buyers have been stepping back after previous deals.
Ex-China rebar offer prices have been heard at $530-540/mt FOB, August shipment, edging down by $5/mt on average compared to June 7. During the given week, heavy rains in southern China and high temperature in northern China slackened the demand for rebar, while coke prices moved down, weakening the support to rebar prices from cost side. “In the traditional offseason in June, demand for rebar will unlikely see improvement, so rebar prices in the Chinese domestic market will continue the downtrend in the coming week,” an international trader said.
Offer prices of ex-Malaysia rebar have been heard at $535/mt DAP, theoretical weight, Singapore, stable over the week and translating to $525-530/mt CFR. Offer prices of ex-Vietnam rebar have been heard at $540-545/mt CFR theoretical weight, Singapore.
In Hong Kong, Malaysian rebar has been on offer at $540/mt CFR, actual weight, $5/mt lower than last week. Latest prices of ex-Middle East rebar have been heard at $545/mt Hong Kong, actual weight.
Average rebar spot prices in China have lost RMB 27/mt ($3.8/mt) compared to June 7, standing at RMB 3,670/mt ($516/mt) ex-warehouse, according to SteelOrbis’ information.
As of June 14, rebar futures at Shanghai Futures Exchange are standing at RMB 3,637/mt ($511.5/mt), decreasing by RMB 18/mt ($2.5/mt) or 0.5 percent since June 7, while up 0.72 percent compared to the previous trading day, June 13.
$1 = RMB 7.1151