Fastmarkets calculated its daily steel HRC index domestic, exw Northern Europe at €566.42 ($627.34) per tonne on Monday, up by just €0.17 per tonne from €566.25 per tonne on September 13.
The index was down by €13.58 per tonne week on week and by €46.08 per tonne month on month.
Prices for HRC in Northern Europe have not been at such low level since December 2020.
On Monday, mills in Northern Europe offered HRC at €570-580 per tonne ex-works, sources told Fastmarkets.
Buyers estimated the workable market level at €550-575 per tonne ex-works.
“The situation with the HRC market in Northern Europe is currently static; trading remains dull,” one buyer source told Fastmarkets.
The source added that there was still pressure on prices related to low demand from all main steel-consuming sectors and oversupply. As a result, the downtrend with the HRC prices would persist, according to the buyer.
“Rock bottom for HRC prices in Northern Europe is not reached yet,” a second buyer source told Fastmarkets, suggesting that prices would stabilize when they hit the level of €550 per tonne ex-works.
In Southern Europe, Fastmarkets calculated its corresponding daily steel HRC index domestic, exw Italy at €568.75 per tonne on Monday, down by €1.25 per tonne from €570.00 per tonne on September 13.
The Italian index was down by €9.58 per tonne week on week and by €43.75 per tonne month on month.
Italian suppliers were heard offering HRC at €580-590 per tonne delivered, which nets back to €570-580 per tonne ex-works.
Some bids were reported at €550-560 per tonne ex-works, but according to Fastmarkets’ sources, Italian suppliers were not accepting these levels.
According to buyers’ estimations, the tradeable market level is at €570 per tonne ex-works.
A third buyer source described the HRC market in Italy as largely quiet.
Interest in imported coil was also low due to the small price difference compared with the local market.
Asia-origin HRC was heard offered to Italy at €550-560 per tonne CFR, but buyers were reluctant to purchase material at this price.
Published by: Darina Kahramanova
