The Vietnamese HRC market has remained mostly mute on scant trades this week post New Year holidays, SteelMint learned from Vietnam sources. Last week Imported HRC offers had continued to witness price rally on the back of tight supplies, active trades and ample demand among end-users.
However, after a steep hike, this week offers remained range-bound.
Market sentiments remained stable due to following reasons:
1.Restocking ahead of holidays- End users in Vietnam restocked last Thursday ahead of New Year holiday when prices were higher. Also mills in Vietnam have resumed partially. Thus, buyers have preferred to wait until holiday before judging the market trend, a major HRC importer shared with SteelMint.
2.Mills stopped quoting the offers- Most of the Chinese steel mills and traders have stopped quoting for the export offers on last working day due to weeklong Christmas and New Year holidays. Market remained quiet with no active offers.
3.Chinese mills kept the offers unchanged- Starting this week, offers from major Chinese mills continued to stand at $710-730/t CFR Vietnam.
Imported HRC offers may increase in the coming weeks- Chinese steel resumed positively on higher prices and bullish market sentiments after New Year holiday. Thus, uptrend in Chinese export offers may lift offers to Vietnam in upcoming weeks. Also restocking activities post holidays can result to upside in prices.
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