Posted on 06 Sep 2024
The rebar import market in Singapore and Hong Kong was quiet as offers from China slumped this week in tandem with China's rebar futures market. Buyers are bearish and anticipate further price falls, Kallanish notes.
Chinese theoretical-weight rebar offers are currently around $10/t lower than last week at around $490-500/t cfr Singapore. A trader is heard to be offering rebar from an unknown Chinese mill at $475/t cfr Singapore. But certain Chinese mills were aiming to hike offers Wednesday to $500-510/t cfr because of the stronger CNY.
"All rather wait-and-see. The market is bearish because of the weak futures,” an importer says on the buying mood in Singapore. “Some say that there is some more room for prices to drop as other steel products are sliding,” a Singapore trader says. Kallanish assessed BS4449 500B 10-40mm diameter rebar at $470-475/t cfr Singapore theoretical weight, down $5 on week.
Theoretical-weight Malaysian rebar was heard offered early this week at $5/t lower from last week at $480-485/t dap (trucked to Singapore). The dap Singapore basis price is $5-10/t higher than cfr Singapore basis. But these offers are currently withdrawn because the mill is targeting higher prices now, some traders say.
In Hong Kong, Chinese actual-weight rebar offers for November shipment are heard at $485/t cfr. “There are no deals because there is very little demand for November,” a buyer says. As demand is weak, he does not see prices going up despite the appreciated CNY. He thinks that Chinese rebar prices may be $10/t lower for shipments to Hong Kong after November. “The mills are offering high but will conclude at lower levels,” he says.
Source:Kallanish
