Indian suppliers have remained interested in rebar sales to Asia, offering still the most competitive prices. During the given week, ex-China rebar offer prices have remained stable amid the declining inventory level and high temperature, which signaled the production restrictions reduced the output and demand has slackened in hot summer.
A deal for ex-India rebar has been heard at $740/mt CFR Hong Kong, on actual weight. This is in line with the offer level seen last week, but slightly higher than bids earlier. A contract has been signaling that demand in SE Asia is still limited and buyers can purchase only after long negotiations.
Offers for ex-India and ex-Middle East rebar have been heard at $740-750/mt CFR Singapore, on theoretical weight. No deal has been reported yet.
Ex-China rebar offer prices have been heard at $860-890/mt FOB, for September shipment, moving sideways on average compared to that recorded on July 23. “Iron ore prices moved down amid the peak carbon dioxide emissions policy, weakening the support to ex-China rebar prices, while the increasing rebar futures bolstered rebar prices in spot market,” an international trader said.
Average rebar spot prices in China have gained RMB 110/mt ($17/mt) week on week to RMB 5,450/mt ($844/mt) ex-warehouse, according to SteelOrbis’ information.
As of July 30, rebar futures at the Shanghai Future Exchange are standing at RMB 5,737/mt ($888/mt), increasing by RMB 66/mt ($17.3/mt) or 1.16 percent since July 23.
$1 = RMB 6.4602