Posted on 30 Nov 2018
Italian coil prices are weakening by a further €10/tonne ($11.3/t), or perhaps less compared to last week depending on product, market sources tell Kallanish.
As with last week and in a protracted situation of market quiet seen since September, orders from service centres are still stagnating due to market uncertainty and reduced final demand. Domestic HRC prices have fallen to €470-480/t base ex-works. However, offers for Turkish material are now at €460/t cif. Sources say that a major Italian producer has raised its prices for February delivery and it’s asking €510/t base ex-works. For the moment this price is thought too high considering other producers’ offers and cheaper imported material from Turkey.
Both CRC and HDG domestic transactions are rumoured to have lost the high point of the range of 10 days ago of €580/t base ex-works and are now at €570/t. Buyers are beginning to “… talk about €560/t”, Kallanish hears.
No change, and certainly no dramatic fall, is seen happening over the next couple of weeks. Price visibility however remains poor and market sentiment continues to be negative.
