Although Mexican domestic rebar prices have been stable in the last week, they still reflect an approximate US$6/mt drop from prices reported two weeks ago. Rebar is now being offered in the level of US$728mt/ex-mill, while downstream prices are still around US$820/mt from distributors--unchanged in the last two weeks.
Expectations for near-term prices are uncertain, as is the forecast for construction activity. While the National Survey of Construction Companies (ENEC) reported that the value of output generated by the construction companies grew 0.86 percent in February 2013 compared to previous month, in its annual comparison, the production value of construction companies fell 0.5 percent. The decrease was attributed to lower activity in transport-related works, building, water, irrigation and sanitation, electricity and communications.
Meanwhile, the share of the work contracted by the private sector accounted for 51.6 percent of total value, 2.1 percent higher than the same month a year earlier; the public sector accounted for 48.4 percent of the total value.