Asian billet, rebar prices were unchanged Sept. 5 as buyers’ indications remained low after exporters raised offers.
“As all the bullish factors came into effect, the shorts [hurriedly] closed positions,” an east China trader said, adding that all of that cannot affect the near-term demand.
In the seaborne billet market, a 5SP cargo was offered at $520-$525/mt CFR Southeast Asia. A 3SP cargo was still offered at $510/mt FOB China and at $505/mt FOB Indonesia. Buyers’ indications remained unchanged after a deal was concluded at $510/mt CFR Philippines in the week ended Sept. 2.
Mills in Southeast Asia are facing selling pressure after capacity was ramped up early-September, so they are inclined to sell if the rally pauses, according to traders.
Platts assessed the price of 5SP 130 mm billet on a CFR Southeast Asia basis unchanged at $516/mt. Chinese import 3SP 150 mm spot billet was down $3/mt at $427/mt CFR China.
Chinese domestic billet was down Yuan 10/mt on the day at Yuan 3,640/mt on a Tangshan ex-stock basis for Q235 billet material.
In rebars, the most competitive offers were at $545/mt CFR Singapore in theoretical weight and at $555/mt CFR Hong Kong in actual weight.
Platts assessed 16-32 mm BS4449 Grade 500 rebar unchanged at $540/mt CFR Southeast Asia and Chinese export 16-40 mm diameter BS500B grade rebar was also unchanged at $534/mt FOB.
Platts assessed the domestic Beijing HRB400 18-25 mm rebar spot price at Yuan 3,794/mt ex-stock in actual weight, including 13% value added tax.
More than 120,000 mt futures warehouse receipts have been registered for the September-delivered rebar contract, weighing on prices, according to a China-based trader.
Rebar futures closed lower with the January 2024 contract on the Shanghai Futures Exchange down Yuan 14 at Yuan 3,799/mt ($520/mt).
Trading weakened as many traders sold with a hedge as the October contract is at a premium to the spot rebar price in different regions of China, participants said.
