European HRC prices remain unchanged despite weak outlook

European domestic hot-rolled coil prices remained unchanged July 23, with sources expecting the market to significantly weaken in the month of August, particularly in Southern Europe, before any signs of strengthening are seen.

“Quiet market,” a service center source said. “Nobody is trying to buy or restock,”

Sources noted that, although market fundamentals remain sluggish, demand may pick up after the summer season as stocks begin depleting and demand improves.

“We have seen a similar month,” the source said. “There is low demand but there have been some signal of things picking up.”

“From September to October, [prices may] bounce back,” another service center said. “At the moment, there is no demand at all.”

However, the recovery in demand is likely to remain sluggish on a lack of overall end-user demand, sources said.

Platts assessed Northwest Europe HRC at Eur625/mt ex-works Ruhr July 23, stable on the day. Tradable values were reported at Eur620-630/mt EXW Ruhr.

Meanwhile, Platts assessed domestic HRC prices in Southern Europe stable on the day at Eur625/mt EXW Italy July 23. Tradable values were reported at Eur610-630/mt, with the majority of the data heard at Eur620-630/mt EXW Italy.

Devbrat Saha | Geraint Moody