During the given week, ex-China rebar offer prices have remained stable compared to the previous week, while local prices have moved down, reflecting negative sentiments. In general, as demand has been weak in Southeast Asia and Chinese mills are going for short repairs, the rebar market is expected to show minimal changes in the coming week.
Ex-China rebar offer prices from large and medium-size mills have been heard at $550-570/mt FOB, for April shipment, remaining unchanged on average compared to February 9.
During the given week, inventory of rebar has seen gradual rises in the Chinese market amid widespread sleet, freezing rain and snowy weather across the country, while most market players held cautious sentiments as regards the prospects for the rebar market during the first working week following the long holiday. It is thought that rebar prices in the Chinese domestic market will move sideways in the coming week.
The bad weather has negatively affected construction activities in Singapore, slackening the demand for rebar from downstream users. Offer prices of ex-Malaysia rebar have been heard at the stable level of $570/mt CFR, while ex-Middle East rebar has been heard at $570-575/mt CFR Singapore, theoretical weight.
In the Hong Kong market, offer prices of rebar have been heard at $570-575/mt CFR, actual weight.
Average rebar spot prices in China have lost RMB 30/mt ($4.2/mt) compared to February 9, standing at RMB 3,960/mt ($558/mt) ex-warehouse, according to SteelOrbis’ information.
As of February 23, rebar futures at the Shanghai Futures Exchange are standing at RMB 3,790/mt ($534/mt), decreasing by RMB 64/mt ($9/mt) or 1.7 percent since February 8, while decreasing by 0.08 percent compared to the previous trading day (February 22).
$1 = RMB 7.1036