End-user demand for steel hot-rolled coil remained weak across Europe, sources told Fastmarkets on Monday July 3.Fastmarkets’ daily steel hot-rolled coil index, domestic, exw Northern Europe, was calculated at €680.00 ($741.76) per tonne on Monday, up by €5.90 per tonne from €674.10 per tonne on June 30.
The latest calculation of the Northern European index was also up by €7.50 per tonne week on week, but was down by €57.08 per tonne month on month.
Market conditions were largely unchanged in Northern Europe, with slow demand and few trades, sources said.
But while some expected prices to remain largely unchanging through July, others were forecasting limited restocking in the first half of the month.
“The market is unchanged this week compared with last week, [and it is] summer vacation time now in Germany, so it´s quite quiet at the moment,” a trader source told Fastmarkets. “I forecast the market will remain silent for the next few weeks.”
A second trader source said: “The market is on pause at the moment, [but I do] expect buyers to return to restock in the first half of July, [although] restocking will be limited because end-user demand is weak.”
Most market participants, however, expected prices to be largely stable until September.
Buyers’ estimates of the tradable level were between €670 and €700 per tonne ex-works.
Mills in Northern Europe were now offering coil for August-September delivery, sources said.
Fastmarkets calculated its daily steel hot-rolled coil index, domestic, exw Italy, at €650.00 per tonne on Monday, unchanged from June 30.
The Italian index was, however, up by €3.75 per tonne week on week, although it was down by €30.00 per tonne month on month.
Sources in Italy also expected to see limited restocking in the first half of July.
Buyers, meanwhile, said that the tradable level in Italy on Monday was €650 per tonne ex-works.
Imports
Offers of September-shipment coil from Asia to Italy were heard at $610-620 per tonne CFR, according to a buyer source in Southern Europe.
Published by: India-Inés Levy
