Local Turkish rebar market once again impacted by lira-dollar exchange rate

Demand in the local Turkish rebar market was at very low levels at the beginning of the current week, and so there were expectations in the market that the long-sustained upward movement of domestic rebar prices would come to an end. However, as a result of the sharp depreciation of the Turkish lira against the US dollar on March 14-15, domestic rebar prices in Turkey have resumed their upward trend.

The significant depreciation of the Turkish lira against the US dollar as well as the rises recorded in domestic scrap prices have both strengthened buyers’ expectations of a further price increase in the local Turkish rebar market and so trading activity in the market has accelerated slightly. However, demand in the local Turkish rebar market has failed to reach strong levels as buyers are only concluding deals in line with their needs as they consider the current price levels to be on the high side. Under the current circumstances, domestic rebar prices in Turkey have moved up by TRY 9-34/mt since March 12, though due to the fluctuations seen in the Turkish lira-US dollar exchange rate prices on dollar basis have declined by $1-8/mt in the same period.

As of today, March 15, traders’ rebar offers in the Turkish domestic market are as follows:

All prices are ex-warehouse and on actual weight basis and exclude VAT.

$1 = TRY 3.90