Restrained trade keeps domestic HRC prices in Europe generally stable
Domestic prices for hot-rolled steel in Europe remained virtually unchanged on Wednesday, May 27, as trading activity in most markets in the region remained low.
In Northern Europe, many participants took vacations, which slowed down the already sluggish market.
During the day, the plant reported volumes available for sale at the level of 680 euros per ton, while no large orders were reported.
A day earlier, several sources told Fastmarkets that the leading European steel producer ArcelorMittal plans to increase the price of new offers by 80 euros per ton, while the latest offers from the supplier for supply in June-July amounted to 730 euros per ton, which corresponds to 715 euros per ton from the plant.
Market participants called the new price unrealistic, given that during the recent transactions, not even 715 euros per ton from the plant was reached.
The daily price index for Fastmarkets hot-rolled steel in the domestic market, exw in Northern Europe, as of May 27 was 680.00 euros (790.94 US dollars) per ton, which is 3.54 euros higher than 676.46 euros per ton on May 26.
The indicator decreased by 2 euros per ton week-on-week and by 28.33 euros per ton on a monthly basis.
The Italian market was also calm, with reasonable prices estimated in the range of 670-680 euros per ton from the factory.
Market participants attributed the lack of trading activity to high stocks and low real demand.
The corresponding daily Fastmarkets hot-rolled steel roll price index in the domestic market, exw in Italy, calculated on May 27 at 676.25 euros per ton, rose by 2.48 euros per ton from 673.77 euros per ton on May 26.
The indicator decreased by 1.75 euros per ton week-on-week and by 23.75 euros per ton on a monthly basis.
The Turkish HRC roll was reported to be available at a price of 600-620 euros per ton CFR, excluding the anti-dumping duty in Italy, while the Indian roll was reported to be available at a price of 685-690 euros per ton CFR.
It was reported that Algerian material was offered to Spain at a price of 720-730 euros per ton per day.
A SM traders offered a full load of Taiwanese HRC at a price of 740 euros per ton per day.
Author: Vlada Novokreschenova
Fastmarkets.com