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International wire rod market awaits return of Turkish and Middle Eastern players

Thursday, 10 November 2011 17:52:36 (GMT+3)   |  
       
In the international wire rod market, market players from Turkey and the Middle East have returned from their holiday as of today, Thursday, November 10. However, domestic and export wire rod offers of Turkish mills have yet to emerge.
 
On the other hand, political uncertainties in European countries such as Italy and Greece have resulted in the weakening of the euro against the US dollar and so the European market has remained sluggish. However, it is thought that further depreciation of the euro may erode Turkish wire rod mills' competitiveness in the export markets. Last week, before the holiday, Turkish mills' wire rod export offers were standing at $660-670/mt FOB for shipments in late November. In the meantime, ex-Italy mesh quality wire rod export offers this week stand at €505-510/mt ($686-693/mt) FOB for late November and December shipments.
 
 In the Bulgarian domestic market, wire rod prices are following a softening trend. Accordingly, Bulgarian stockists' mesh quality wire rod prices now stand at BGN 1,020/mt ($708/mt) CPT on actual weight basis, exclusive of 20 percent VAT, softening by BGN 15-20/mt ($10-14/mt) as compared to last week. In the meantime, the CIS producers are offering low carbon wire rod to Bulgaria at €485-490/mt ($659-666/mt) CFR on actual weight basis, for December shipments. Low carbon wire rod offers in the Montenegrin domestic steel market stand at €530-540/mt ($719-733/mt) CPT and on actual weight basis. The market situation is expected to become clearer in the coming days.

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