During the given week, ex-China and ex-ASEAN rebar offer prices have moved sideways compared to the previous week, but sentiments have been more bearish and some correction is awaited.
Ex-China rebar offer prices have been heard at $455-465/mt FOB, remaining stable on average compared to May 16.
During the given week, the average rebar prices in the Chinese domestic market have edged down amid the sufficient supply to the market. Rebar futures prices have moved down, exerting a negative impact on the prices in the spot market. The recent rainy weather has slackened the demand for rebar, weakening prices to a certain degree. As the traditional offseason in the plum rainy season is approaching, demand will likely remain sluggish. It is thought that rebar prices in the Chinese domestic market will likely edge down in the coming week.
In the Singapore market, the offer prices of ex-Malaysia rebar have been heard at $470/mt DAP, theoretical weight, remaining unchanged compared to last week, which translates to $460-465/mt CFR. Offer prices of ex-China rebar stand at $470-475/mt CFR, theoretical weight.
In the Hong Kong market, buyers’ counter-offer target prices are at $460-465/mt CFR, actual weight, down $2.5/mt on average compared to May 16, while offer prices of ex-Malaysia rebar have been stable at $480/mt CFR, actual weight. The tradable level of ex-China rebar stands at $470/mt CFR, actual weight.
Average rebar spot prices in China have lost RMB 43/mt ($6/mt) compared to May 16, standing at RMB 3,227/mt ($448/mt) ex-warehouse, according to SteelOrbis’ information.
As of May 23, rebar futures at Shanghai Futures Exchange are standing at RMB 3,046/mt ($423/mt), decreasing by RMB 36/mt ($5/mt) or 1.2 percent since May 16, while down 0.42 percent compared to the previous trading day, May 22.
$1 = RMB 7.1919
