Friday, Aug 05,
Black Sea billet prices firmed this week, supported by rising prices in Asia and expectations of a revival in demand from the construction sector in North Africa and the Middle East after the end of Ramadan.
Traders quoted Black Sea billet at $680-690/MT free on-board (FOB) Russia and Ukraine, compared with offers at $670-680/MT last week.
Turkish billet was also offered at $680-690 FOB, little changed from last week.
Trading volumes were low as the summer holidays, coupled with the beginning of Ramadan, slowed down activity in construction, where most long steel products are consumed.
Prices firmed up on expectations that most consumers have not bought enough material to replenish their stocks and after the holiday they will have to go back to the market.
“The sentiment is bullish for September,” said a London based billet trader. “It will probably be only for a short window but people expect prices to go further up because of more projects in China and better demand from the Middle East post Ramadan.”
Source: Reuters
Leave a Reply