During the past week, ex-China rebar offer prices have moved sideways as there have been no decent supportive factors in the global market and demand overseas has been rather weak. Even though local and futures prices in China have posted some increases, locally the upward trend has not been so strong, so it failed to support export prices.
Ex-China rebar offer prices have been heard at $475-485/mt FOB, moving sideways on average compared to April 10.
During the given week, demand for rebar has showed signs of a gradual recovery locally, though at a modest pace. Rebar producers have been unwilling to raise their capacity utilization rates, which may bolster prices to a certain degree. Prices of raw materials have fluctuated within a limited range, still providing some support for rebar prices, even though it is not so strong. The weak recovery of demand may limit the upward momentum of rebar prices. However, there may be some inventory restocking ahead of the Labor Day holiday (May 1-5), which would exert a positive impact on rebar prices. It is thought that rebar prices in the Chinese domestic market will fluctuate within a limited range in the coming week.
Meanwhile, offer prices of ex-China rebar stand at $505-510/mt CFR Singapore, for prompt shipment, theoretical weight, remaining stable on average compared to April 10. Ex-Malaysia rebar has been available at $515/mt DAP Singapore, theoretical weight, up $2.5/mt on average compared to April 10.
In the Hong Kong market, buyers’ target prices stand at $495-500/mt CFR, actual weight, also stable over the past week
Average rebar spot prices in China have gained RMB 43/mt ($6.3/mt) compared to April 10, standing at RMB 3,280/mt ($478/mt) ex-warehouse, according to SteelOrbis’ information.
As of April 17, rebar futures at Shanghai Futures Exchange are standing at RMB 3,133/mt ($457/mt), increasing by RMB 34/mt ($5.0/mt) or 1.1 percent since April 10, while up 0.42 percent compared to the previous trading day, April 16.
$1 = RMB 6.8654
