According to sources, a national holiday was observed in Pakistan on 25th of Dec’18, on account of Quaid Day and Christmas. The State Bank of Pakistan (SBP) also remained closed to mark this public holiday, as confirmed by the Government of Pakistan. Most markets remained closed across the country.
Activity and buying interest in Gadani takes off – According to sources, two ships have been renegotiated recently after their arrival. Two further sales to end users by cash buyers have also been reported.
The local market has displayed positive signs despite the fact that it has not yet adjusted to the recent devaluation; Prices for ship cutting plates have stabilized at around PKR 75,000/MT (USD 539) and ship breaking scrap at around PKR 54,000/MT (USD 388), delayed infrastructure projects are likely to begin in 2019 and the country is seeing substantial foreign investment by UAE, China and Saudi Arabia, amongst other countries.
Local toke scrap prices increase this week – According to sources, local scrap prices for grades like Art Q toke, Art toke, Art Q Pure toke and Pure Q toke in Pakistan have moved up by around PKR 2500-4000/MT (USD 18-29) in last one weeks’ time amid a supply shortage.
TMT bars and Rebar prices remain stagnant – According to sources, TMT bar and rebar prices have been judged at a constant PKR 98,000-100,000/MT (USD 701-719), ex-works in Punjab, varying by quality, thickness and payment terms.
The country is likely to see improved conditions in the early part of 2019. With the banking year coming to an end, it is improbable that new LCs will be opened before the end of the month and hence next week is expected to remain quiet.
*all prices are inclusive of taxes unless specified otherwise
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