Using the terminology form the stock market, the raw materials driven price rally continued last week at Black Sea steel market.

It is reported that billets prices FOB Black Sea added another USD 10 per tonne to USD 15 per tonne this week and reached range of USD 485 per tonne to USD 510 per tonne.

However, the working interval was closer to USD 485 per tonne to USD 495 per tonne FOB Black Sea.

But due to lack of supply on the market, offers from some suppliers reached USD 510 per tonne levels, highest ever since the collapse.

Finished longs move slower and increased by USD 5 per tonne to USD 10 per tonne only due to increase in billets and not because of increased demand.

Actual prices for finished flats also grew up from the previous week level. We heard that producers have already started to test ranges of USD 20 per tonne to USD 30 per tonne higher than previous week.

We think that Ukraine will follow the trend.

Another issue for CIS market is that the producers are facing higher demand from local customers and even some lack of domestic supplies is expected.