During the given week, ex-China rebar offer prices have remained stable compared to the previous week, and so other Asian suppliers have also been following this trend. Nevertheless, activity in Asia has been rather weak with buyers still bidding lower.
Ex-China rebar offer prices have been heard at $450-460/mt FOB, for June shipment, moving sideways on average compared to April 18. During the given week, the average rebar prices in the Chinese domestic market have fluctuated within a limited range. Cautious sentiments have prevailed among market players amid the uncertainties in the global market. As the Labor Day holiday (May 1-5) is approaching, there will be some replenishment of rebar stocks, which will likely exert a positive impact on rebar prices. The measures of the Politburo meeting have been issued on April 25, indicating that the incremental reserve policy will be introduced in a timely manner according to changes in the situation. However, this statement for possible policy support is not as strong as market players had expected. It is thought that rebar prices in the Chinese domestic market will likely move sideways in the coming week.
In the Singapore market, the offer prices of ex-Malaysia rebar have been stable at $485/mt DAP, theoretical weight, translating to $475-480/mt CFR. Buyers’ price ideas are still at $460-470/mt CFR, theoretical weight.
In the Hong Kong market, buyers’ counteroffer target prices have stood at $450-455/mt CFR, actual weight, remaining unchanged week on week.
Average rebar spot prices in China have gained RMB 23/mt ($3.2/mt) compared to April 18, standing at RMB 3,250/mt ($451/mt) ex-warehouse, according to SteelOrbis’ information.
As of April 25, rebar futures at Shanghai Futures Exchange are standing at RMB 3,101/mt ($431/mt), increasing by RMB 25/mt ($3.5/mt) or 0.8 percent since April 18, while down 0.48 percent compared to the previous trading day, April 24.
$1 = RMB 7.2066
