Rebar prices in Asia supported by improved Chinese market

Friday, 03 November 2023 15:38:21 (GMT+3)   |   Shanghai
       

During the given week, ex-China rebar offer prices have edged up, supporting prices of other origins in Asia. 

Ex-China rebar offer prices from small mills and traders have been heard at $510-540/mt FOB, December shipment, edging up by $5/mt on average compared to October 27.  

During the given week, import iron ore prices have moved up, bolstering rebar prices from the cost side, while sentiments have improved among market players amid increasing rebar futures prices, exerting a positive impact on rebar prices. But “some market players have started to sell stocks to lock in profits gained in this round of the upward price momentum, which may reduce support for the rebar market,” an international trader said. 

Negotiations for ex-Middle East rebar have been heard at $540/mt CFR Singapore, theoretical weight.  

Offer prices of ex-Malaysia rebar have increased to $540-545/mt DAP Singapore, theoretical weight, translating to $535/mt CFR, while buyers would like to conclude purchases at $530/mt CFR, as in the latest deal last week. Last week, the reference price was at $525-530/mt CFR. 

Average rebar spot prices in China have gained RMB 100/mt ($14/mt) compared to October 27, standing at RMB 3,900/mt ($543/mt) ex-warehouse, according to SteelOrbis’ information. 

As of November 3, rebar futures at the Shanghai Future Exchange are standing at RMB 3,805/mt ($530/mt), increasing by RMB81/mt ($11.3/mt) or 2.2 percent since October 27. 

$1 = RMB 7.1796


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