During the given week, ex-China rebar offer prices have continued their downtrend, which has weakened the sentiment in the import market in Southeast Asia also. Most non-Chinese suppliers have kept prices stable this week, waiting for some impact from the slightly improved situation in the scrap market.
Ex-China rebar offer prices have been heard at $520-530/mt FOB, for October shipment, decreasing by $10/mt on average compared to August 4. “During the given week, demand for rebar in the Chinese domestic market has been slack amid the prevailing cautious sentiments among market players, while inventory of rebar has indicated an increasing trend. The negative impact from the heavy rainfall caused by typhoon Khanun has continued to affect the rebar market, while it is thought that rebar prices in the Chinese domestic market may edge down further in the coming week,” a trader said.
Offer prices for ex-Middle East rebar have been heard at $540-545/mt CFR Singapore, theoretical weight. Offer prices from Alliance Steel in Malaysia have been heard at $545-550/mt DAP, which translates to around $535-540/mt CFR, also stable from last week. Sales activities in Southeast Asia, East Asia and Northwest Europe have been quiet as buyers have been unwilling to conclude purchases. There have been reports that Turkish mills have returned to the Asian market with offers, though, as they cannot offer below $570/mt CFR Singapore, there has been no interest.
Average rebar spot prices in China have lost RMB 34/mt compared to August 4, standing at RMB 3,743/mt ($523/mt) ex-warehouse, according to SteelOrbis’ information.
As of August 11, rebar futures at the Shanghai Future Exchange are standing at RMB 3,691/mt ($515.5/mt), decreasing by RMB 45/mt ($6.3/mt) or 1.2 percent since August 4.
$1 = RMB 7.1587