A noticeable drop in trade activity with the Thanksgiving approaching, reports Freight Investor Services.
There was only one trade which was a US HRC, Dec v Jan spread trading -10 in 1kT a month, on 25th November.
Wavering scrap market
Scrap market conditions in the south of Europe continue to struggle whilst conditions in the north are faring much better.
Competition in the north among yards remains strong. Collection prices remain firm for north European players with some yards continuing to pay excess €200/tonne to collect material. US scrap market players are anticipating a price hike come early-December.
Some are expecting increases of up to $20/t as the holiday season commences and poor weather conditions set in.
Fall in Turkish Rebar Index
Consensus is scrap collection is likely to fall off, supporting demand and the continued holding of prices. Prices in Taiwan have further increased, last week’s offers at $247-250/t have increased to above $250/t cfr.
There was a noticeable drop on the Turkish Rebar Index, coming off $4. Attempts to implement new price increases over the past few weeks have not been successful. Mills are now needing to sell and are doing so at a discount.
Domestic market unaltered
Whilst the current export market in Turkey is not fantastically strong, the domestic market is showing signs of improvement.
Chinese rebar prices continue to firm with supply shortages and strong demand for construction steel.
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Source: Freight Investor Services