The longs market in southern Europe continues to show limited activity, with producers struggling to raise prices, while the outlook for the last two months of the year appears largely negative.
In Italy's local rebar market, producers are asking for a base price of around €300/mt ex-works base (€565/mt ex-works including regular extras). However, the realistic tradable level to close orders remains around €280-290/mt ex-works base (€545-555/mt ex-works including regular extras), which is in line with the price over the past month. “For now, any price increases are merely attempts that haven’t materialized,” an Italian source commented.
Additionally, some mills are opting for various shutdowns in this late October-early November period, with rumors circulating about possible production halts for nearly all of December due to high energy costs. “More details on the shutdowns will emerge next week, but the outlook isn’t promising,” a source added.
Greece has also reported a sluggish market, with almost no movement. Ex-Greece offers - for those still active in the market - have been reported at stable levels of around €590-600/mt FOB for rebar and €600-610/mt FOB for wire rod.
Finally, ex-Turkey offers have also been almost stable at €570-590/mt CFR southern Europe for rebar (down by €10/mt on the lower end of the range week on week) and at €590-600/mt CFR for wire rod.