Billet: The decrease in the supply of billet in the stock market
and concern about gas shortage improved the demand for billet.
Long Products
Rebar: Weak demand along with
political concerns caused rebar market to stagnate.
I-beam: The demand was weak, but market control kept I-beam price.
Flat Products
HRC: Higher slab demand made HRC market improved.
HRP: HRP market is at the bottom and higher slab demand made it
rise.
CRC: Higher ex-rate made CRC price improve.
HDG: Under the influence of Higher HRC price, this product faced an increase in
price.
Weekly Analysis:
In the world market: The impact of Chinese market changes on iron
ore, scrap and billet can be seen in the global markets, but the improvement in
prices is neither large nor firm. The Chinese government finally took a stand
on construction companies and decided to push them back. Apparently, the Chinese have taken action, despite the fact that the price of oil
does not show an increase and confusion continues in the world markets. The interest rate in Europe should be changed, but the
main problem in the Middle East is still ongoing, the Arabs' investment in AI,
which does not need iron and steel, should wait for the end of the war and the
start of reconstruction.
In the domestic market: The market is in confusion
and in a situation where lack of money is more noticeable every day, for now
the market prefers to wait and see, the news about next year's budget is
unclear, it seems that this budget promises serious changes. Anyway, the
situation cannot continue like this. The discussion of the gas problem is
becoming more serious every day, the lack of gas affects the production of DRI
and electricity, for this reason, billet producers have increased production as
much as possible. They are trying to increase export as much as possible and
control the domestic market. Weak demand for rebar does not allow a serious
increase in the price of billet.
At the moment we should not expect
much for the coming weeks, both demand and production have reached the bottom. Warehouses
are empty and the production does not want to increase, this situation is not
stable for a long time, you have to wait for a few weeks. Either demand should
increase or production should decrease.
CBI
average ex-rate for Steel Products (SANA): Rials 482,515/ 1USD
21 Oct 2024
M.Chitsaz
Iran Steel News
Bulletin
IFNAA.IR
IRSTEEL.COM