Trading remained subdued in Europe’s domestic markets for steel hot-rolled coil on Monday May 18, with public holidays curbing demand.
Last week, several countries in the region celebrated Ascension Day on April 14 and had a public holiday on April 15.
And at the end of the current week, most countries in the region will celebrate Whit Sunday on May 24, followed by Whit Monday. And on June 4, they will celebrate Corpus Christi.
As a result, market participants did not expect to see any increase in demand in the coming weeks, with prices remaining relatively stable.
In Northern Europe, HRC offers scheduled for delivery in July were heard around €700 ($833) per tonne ex-works. Indications of workable prices varied within the range of €680-695 per tonne ex-works, with no major bookings heard during the day.
Trade sources indicated that June delivery volumes were largely sold out by the mills.
Fastmarkets’ daily steel hot-rolled coil index, domestic, exw Northern Europe, was calculated at €688.75 ($819) per tonne on May 18, up by €5.00 per tonne from €683.75 per tonne on May 15.
The index was up by €5.83 per tonne week on week but down by €19.58 per tonne month on month.
The Italian market was also largely quiet with offers heard at €700 per tonne ex-works.
Some bookings were reported within the range of €670-675 per tonne ex-works and indications of tradeable levels were in a slightly wider range of €670-680 per tonne ex-works.
As a result, Fastmarkets’ daily steel hot-rolled coil index domestic, exw Italy, was assessed at €680.63 per tonne on May 18, down by €3.54 per tonne from €684.17 per tonne on May 15.
The index was up by €4.38 per tonne week on week but down by €17.87 per tonne month on month.
On the import, side information was circulating in the market about a cargo of Turkish material being booked within the range of €660-690 per tonne DDP Italy, as well as an Algerian cargo at $750-760 per tonne CFR, but these could not be widely confirmed at the time of publication.
Market sources also reported offers of Algerian HRC at €670 per tonne CFR Italy, and Turkish coil at €600 per tonne CFR excluding anti-dumping duty. Asian HRC was heard available at €640-660 per tonne DDP.
In Northern Europe, interest in imported material was minimal, with buyers saying that higher freight rates were making import prices less competitive than domestic options, while there were a lot of risks connected with trade protection measures and delivery.
