During the given week, ex-China rebar offer prices have edged up amid the rising trend seen in ferrous metal futures prices. Moreover, all other rebar exporters targeting sales to Southeast Asia have also increased their offer prices amid increased scrap costs, SteelOrbis has learned from market sources.
Following rises in global scrap prices, ex-Turkey rebar prices have risen to a minimum of $640/mt CFR Singapore on theoretical weight basis, while buyers have not concluded purchases after the long holiday due to the sufficient purchases transacted previously. Prices have increased by around $20/mt compared to the level before the Chinese New Year holiday. A rumor of one new sale has not been confirmed by the time of publication. The tradable value for rebar from the Middle East has also been heard at $635-645/mt CFR on theoretical weight basis
Ex-China rebar offer prices have been heard at $630-650/mt FOB, April shipment, moving up by $5/mt on average compared to February 5. “The increasing trend in rebar futures prices and iron ore prices has exerted a positive impact on ex-China rebar prices,” an international trader said.
Ferrous metal futures prices have indicated big rises after the long holiday, positively affecting ex-China rebar offer prices. Moreover, market players are optimistic towards the future prospects for the market, which has also bolstered ex-China rebar prices. Average rebar spot prices in China have gained RMB 204/mt ($31.6/mt) week on week to RMB 4,557/mt ($705/mt) ex-warehouse, according to SteelOrbis’ information.
As of February 19, rebar futures at the Shanghai Futures Exchange are standing at RMB 4,524/mt ($700/mt), increasing by RMB 239/mt ($37/mt) or 5.6 percent since February 5.
$1 = RMB 6.4624