During the given week, ex-China and ex-ASEAN rebar offer prices have remained stable as the market has no push either from the local market in China or demand from Southeast Asia.
Ex-China rebar offer prices from smaller mills have been heard at $510-530/mt FOB, for November shipment, moving sideways on average compared to September 15. Rebar futures prices have moved down, exerting a negative impact on market sentiment, while buyers’ stock replenishments have been weaker than expected, resulting in the prevailing cautious sentiments. “The production of rebar has been at relatively low levels, bolstering prices to certain degree, though demand from downstream users is unlikely to see a significant improvement, which may limit the rising space for rebar prices ahead of the long National Day holiday [September 29-October 6]. But again, rebar prices may gain support from the cost side,” a trader said.
Offer prices of ex-Malaysia rebar have been heard at $530-540/mt CFR Singapore, theoretical weight, almost the same as $530-535/mt CFR last week.
Average rebar spot prices in China have remained stable compared to September 15, standing at RMB 3,837/mt ($535/mt) ex-warehouse, according to SteelOrbis’ information.
As of September 22, rebar futures at the Shanghai Future Exchange are standing at RMB 3,779/mt ($527/mt), decreasing by RMB 45/mt ($6.3/mt) or 1.2 percent since September 15.
$1 = RMB 7.173