Average offer prices for ex-China wire rod have increased slightly this week if compared with the level just before the holidays. Southeast Asian suppliers have also been offering at a higher level, but overall demand has been subdued.
Ex-Malaysia and ex-Indonesia wire rod offers have been heard at $500-505/mt CFR and $500/mt CFR has been assessed as workable if anyone will need to buy in the Philippines. In late September, the tradable value for imported wire rod was at $490-495/mt CFR in Southeast Asia.
Offer prices from Vietnamese producer Formosa Ha Tinh are at $520/mt FOB for November-December delivery, rising by $5/mt from the previous month.
Offers for ex-China wire rod have been heard at $510-520/mt FOB, moving up by $7.5/mt this week. “Quite good demand in another month of the traditional peak season has bolstered wire rod prices, while relatively high levels of inventory will likely exert a negative impact on prices in the future,” an international trader said.
As of Thursday, October 15, rebar futures at the Shanghai Futures Exchange are standing at RMB 3,612/mt ($536/mt), increasing by RMB 52/mt ($7.7/mt) or 1.5 percent since September 30, while decreasing by 0.28 percent compared to the previous trading day.
$1 = RMB 6.7374