Prices for imported rebar in Asia have been stable following an increase last week and early this week. Chinese exporters have not been much interested in sales, while prices have moved sidewise from last week.
Most market players think that rebar prices in April will be strong as demand will improve further. At the end of last week, a Turkish steel producer sold a 50,000 mt rebar cargo to Singapore at $685/mt CFR on theoretical weight basis. A week before, the tradable level was not above $670/mt CFR.
No new deals have been heard to Hong Kong, with most offers at above $700/mt CFR actual weight basis. Only one Indian rebar lot has been offered at a much lower price - at $675-680/mt CFR Hong Kong, and this level is not considered to be the market level now.
Ex-China rebar offer prices have been heard at $680-700/mt FOB, for May shipment, moving sideways on average compared to March 5. “The production curbs in Tangshan have negatively affected rebar prices in the spot market, while following the big declines in the first part of the given week rebar futures prices have seen a rebounding trend, signaling market players’ optimistic attitude towards the prospects for the future market,” an international trader said.
Average rebar spot prices in China have gained RMB 40/mt ($6.2/mt) week on week to RMB 4,740/mt ($731/mt) ex-warehouse, according to SteelOrbis’ information, while they have added RMB 67/mt ($10.3/mt) on Friday compared to Thursday.
As of March 12, rebar futures at the Shanghai Futures Exchange are standing at RMB 4,729/mt ($729.3/mt), increasing by RMB 33/mt ($5.1/mt) or 0.7 percent since March 5.
$1 = RMB 6.4845