European hot-rolled coil domestic prices remained largely unchanged July 30, as weak market fundamentals persisted, with sources noting that mills need to cut capacity to support prices.
“There is very low interest in purchasing,” a distributor source said.
Sentiment remained mixed over the outlook on prices, with some sources noting that they are yet to bottom out, and others disagreeing.
“I don’t think prices will go down [below Eur600],” a trader source said.
Sources also noted that mills need to cut production to support prices, although the likelihood of this, particularly in Southern Europe, remains unknown.
“I hope [mills] cut production for prices, but in Italy it is difficult it will happen,” a trader source said. “It is one of the hardest times to make forecasts.”
Platts assessed Northwest European HRC at Eur620/mt ex-works Ruhr July 30, down Eur5 on the day.
Tradable values were reported at Eur620/mt EXW Ruhr, and at Eur590-600/mt for larger volumes.
Meanwhile, Platts assessed domestic HRC prices in Southern Europe at Eur620/mt EXW Italy July 30, stable on the day.
Tradable values were reported at Eur620-640/mt.
Geraint Moody | Devbrat Saha
