During the given week, most major ex-ASEAN, ex-Middle East and ex-China rebar suppliers have kept offers stable in Asia, though the market has been still under pressure. Some low-priced offers for very close lead time have disturbed the market.
The tradable level for imported rebar in Singapore have remained at $590-600/mt CFR Singapore for October shipment with one deal rumored at $595/mt CFR last week.
But lower prices are available for very close delivery. In particular, it is heard that 10,000 mt of ex-Middle East rebar en route was offered at $575/mt CFR, theoretical weight. Also lower levels could be offered for rebar, which is hedged at the futures exchange, for delivery next year – at $570/mt CFR or so.
Offer prices of ex-Middle East and ex-ASEAN rebar have been heard at $605-610/mt CFR, Singapore, theoretical weight, for October-November shipment, while this level has been regarded as unreasonable among buyers.
Prices of ex-Malaysia and ex-Vietnam rebar have been heard at $610/mt Hong Kong, actual weight, while local buyers have been willing to buy at lower prices.
Ex-China rebar offer prices have been heard at $630-650/mt FOB, October shipment, remaining stable on average compared to August 19.
“The continuous high temperature limited the power supply for some enterprises, while steelmakers’ profitability improved, contributing to the rise in outputs, which still was the lowest level over the past five years, which may bolster rebar prices in the near future,” an international trader said.
Average rebar spot prices in China have gained RMB 40/mt ($5.8/mt) compared to August 19, standing at RMB 4,193/mt ($612/mt) ex-warehouse, according to SteelOrbis’ information.
As of August 26, rebar futures at the Shanghai Future Exchange are standing at RMB 4,097/mt ($598/mt), increasing by RMB 168/mt ($24.5/mt) or 4.3 percent since August 19.
$1 = RMB 6.8486