Price levels in the longs market in southern Europe have remained mostly stable again this week, with weak demand in line with the season and no increases accepted in the market.
There has been little activity in Italy. Many mills will close for an extended period in August, so orders are only in small quantities. According to sources, the level of orders for steel mills is not exceptional, but neither is it completely absent. Attempts to increase prices are not accepted by buyers at the moment. While previously the latter expected rising quotations in September, now they are no longer sure, also due to the scrap trend in Turkey, and are therefore buying only “the bare minimum”.
The tradable rebar price in the local market in Italy has been reported at €350-370/mt ex-works base (€615-635/mt ex-works including regular extras, stable week on week), and drawing quality wire rod at €600-610/mt delivered.
On the export side, producers' quotations have remained stable at €570/mt FOB for ex-Italy rebar, but there have been no sales as foreign demand is also low.
In the import segment, ex-Egypt wire rod offers, according to some sources, have been reported at $570/mt FOB (about €550/mt CFR southern Europe), stable from last week, but other sources have started talking about prices below $560/mt FOB (€540/mt CFR). Algeria is offering at $550-560/mt FOB for both wire rod and rebar (€540-550/mt CFR).