European hot-rolled coil prices continued to fall Thursday June 26 with sources saying that a lack of demand, seasonal factors, decreases in iron ore prices as well as competitive import offers were key factors weighing on the market.
Fastmarkets’ calculation of the daily steel hot-rolled coil index domestic, exw Northern Europe was €566.25 ($658.22) per tonne on June 26, down by €7.5o per tonne from €573.75 per tonne on Wednesday June 25.
Workable levels were indicated within the wide range of €550-570 per tonne ex-works versus €560-580 per tonne a day earlier, with one seller saying that €580 per tonne ex-works is no longer achievable.
The source added that negative dynamics affecting iron ore prices have somewhat helped mills maintain profits, while earlier this week sources reported that the price level was approaching the cost line.
Fastmarkets’ daily index for iron ore 62% Fe fines, cfr Qingdao was $92.32 per tonne on June 26, down from $97.27 per tonne on May 26.
In Italy, the HRC market also continued to show signs of weakness.
“In 20 years, passing through 2028 and Covid, I have never seen such a weak demand,” a local market source said.
Although no sales were reported during the day, workable prices varied within the range of €530-550 per tonne ex-works depending on the tonnage.
Small-sized tonnages are currently available at €540 per tonne and above, while decent tonnages could be traded within the range of €530-540 per tonne ex-works, according to sources.
Fastmarkets’ daily steel hot-rolled coil index domestic, exw Italy was calculated at €540.63 per tonne on June 26, down by €6.03 per tonne day on day.
HRC offers from Indonesia with August shipment were heard at €470-480 per tonne ex-works.
HRC from Turkey was on offer at €525-530 per tonne CFR duty paid for small-tonnage orders, while large volumes — of 20,000 tonnes or higher — were reportedly possible to get €500-510 per tonne duty paid.
From Vietnam and Thailand, HRC offers were €510-515 per tonne CFR to Italy.
