Prices for hot rolled coil (HRC) in North-Western Europe may rise slightly next week after local producers have informed customers about another potential price increase to 520 euros/ton from the factory.
Internal index of g/K roll from Argus in North-West Europe on Friday jumped by 6.25 euros to 449,25 euros, increasing the monthly average to 441,50 euros. February and March contracts was estimated at 460 and € 467,50 per ton, respectively.
Offer for Russian hot-rolled coil remained at the level of 455 euros per ton with delivery to the port of Antwerp, including customs clearance. It is certainly most competitive offer for foreign materials. Cold rolled steel coil Asian production was offered at a price of 540 euros per ton, and hot - at around 470-475 per ton.
the Majority of metallurgical enterprises of North-West Europe raised suggestions for hot-rolled steel in the range of 480-500 per ton, although some still hold more than low quotes, trying to determine how much they should increase.
However, in Germany there is still some concern about the prices on the leaves, especially in the South. The Italian market is apparently stabiliziruemost: service centers are concerned that they will have to pay more, as prices for the leaves are not growing, and demand is weak. Serbian HRC were offered to Italy at a price 465-470 per ton, on par or slightly above domestic levels.
Opinion has varied depending on the direction of the market. Some traders sold their positions, given the weak demand, the decline in scrap prices in Turkey and the increasing desire to sell from the factory do not deliver metal to the warehouse. Others still said that the proposal was 490 euros per tonne and higher, and the expected appreciation of domestic prices, given stable global situation, and rising prices in the Northwest Europe. Slab prices are also expected to grow in the next round of purchases that can spur the quotes of hot rolled steel.
