During the given week, prices for import rebar in Southeast Asia have rebounded slightly, even though most buyers have not been interested in purchases, as the gap between billet and rebar prices in Asia has become too small after the latest increase in the billet segment. Ex-China rebar offer prices have moved sideways, but have remained uncompetitive in Southeast Asia.
Mainstream offer prices in Southeast Asia, Singapore, in particular, have been reported at $725-735/mt CFR on theoretical weight basis, in particular from some traders and Turkish sellers, while last week offers were at $715-720/mt CFR. At the same time, the tradable level for buyers has remained at $700-710/mt CFR in Singapore, sources have said. The increase in rebar prices has been connected mainly with the rises seen in September in billet prices. As most offers for billet are still at $715-720/mt CFR to China, sellers have not been interested in offering rebar at similar levels.
Ex-China rebar offer prices have been heard at $860-890/mt FOB for November shipment, moving sideways on average over the past week. “Rebar futures prices have moved down due to the prevailing bearish sentiments among market players amid the slowing down of investments in the infrastructure sector, while demand has not been as good as market participants had been expecting in the traditional peak season in China,” an international trader said.
Average rebar spot prices in China have gained RMB 97/mt ($15/mt) week on week to RMB 5,617/mt ($870.5/mt) ex-warehouse, according to SteelOrbis’ information.
As of September 17, rebar futures at the Shanghai Futures Exchange are standing at RMB 5,478/mt ($849/mt), decreasing by RMB 162/mt ($25/mt) or 2.9 percent since September 10.