SINGAPORE April 01 2016 9:42 AM
SINGAPORE (Scrap Register): ASEAN hot rolled cold (HRC) steel import prices (CFR ASEAN port) gained week-on-week to $370 a ton in the week ended March 18, as per the latest figures released by The Steel Index.
After a week of price swings, TSI’s ASEAN HRC index finished at 370, an increase of 4 dollars from last Friday. Early in the week, many traders took price falls in the domestic Chinese market as a signal of an upcoming U-turn and cut their HRC export offers.
As a result, trading activity picked up on Wednesday, and buyers were able to secure SS400 and SAE 1006 grades between 350-355 and 360-365 respectively. However, these low offers were quickly withdrawn after iron ore and Chinese domestic HRC prices picked up once again.
On Friday, new offers for SS400 and SAE material were heard between 360-365 and 380-385 respectively. Although bids increased, no SAE deals were heard at higher levels.
Commenting on this week’s price fluctuations, a trader observed that the steel market can no longer be explained by supply and demand fundamentals, but is now mostly sentiment-driven. ASEAN HRC swaps contract (basis TSI) traded this week on SGX. All prices quoted on a US$/tonne CFR ASEAN port basis.