Average offer prices for ex-China wire rod have moved sideways over the past week as even inventories of wire rod increased, the rising pace slowed down, and there are expectations for further stabilization or slight increase by the end of September ahead of national holiday.
Offers for ex-China wire rod have been heard at $470-490/mt FOB, remaining stable compared to that recorded on September 4. The tradable prices have been heard at $465-480/mt FOB.
During the given week, the apparent consumption for wire rod improved, which will continue to improve in the coming period. Meanwhile, although inventories of wire rod have seen rises, the increasing pace slowed down, and this trend will also continue, which will exert a positive impact on its prices. However, rebar futures prices have decreased, signaling the ongoing cautious sentiments as regards the future prospects for the wire rod market. It is thought that wire rod prices in the Chinese domestic market will move sideways or rebound slightly in the coming week.
Wire rod offer prices from Indonesia’s Dexin have been heard at $490/mt FOB, holding steady over the past week. Offer prices of ex-Malaysia SAE1006 wire rod have been heard at $480-490/mt FOB, remaining unchanged week on week, and offers of ex-Vietnam CB300V-D6 wire rod have been heard at $510-520/mt FOB, moving sideways on average week on week.
In Southeast Asia, mainstream tradable prices of SAE1008 6.5 mm wire rod have been heard at $480-490/mt CFR, remaining stable week on week.
As of September 11, rebar futures at Shanghai Futures Exchange are standing at RMB 3,092/mt ($435.5/mt), decreasing by RMB 25/mt ($3.5/mt) or 0.8 percent since September 4, while down 0.51 percent compared to the previous trading day, September 10.
$1 = RMB 7.1034