[Your shopping cart is empty

News

Iran Steel Market Trend in Week 05th , 2024

Iran Steel Market Trend in Week 05th   , 2024

Billet

Higher DRI price, exchange rate rise and the decrease in supply caused billet price to rise from USD 531/mt to USD 555/mt ex-work including VAT by end of the week, but the market moved forward cautiously.


Long Products

Higher billet price and upward ex-rate made rebar price rose from USD 600/mt to USD 620/mt but weak demand and lowering exchange rate calmed the market.

Better market sentiment made I-beam price up from USD 695/mt to USD 711/mt, but finally market retreated.

 

Flat Products

Mobarakeh Steel co average HRC price increased from USD 996/mt to USD 1029/mt ex-work due to lack of supply and upward ex-rate, but by end of the week market returned a little.

Upward currency rate and the increase in price of slab was the reason for Oxin co HRP price increase from USD 889/mt to USD 902/mt.

Higher HRC price and uoward ex-rate fueled the decrease in CRC supply and increased its price from USD 1120/mt to USD 1142/mt by end of the week.

HDG market was up from USD 1081/mt to USD 1086/mt due to higher cuurency rate and upward HRC market.

 

Weekly Analysis:

In the world market:

Oil price continued to fluctuate at around below USD 80 /barrel, while billet price has slightly improved due to Chinese stockpiling and China CFR price has crossed USD 550/mt. Scrap market is waiting for a jump and it is likely to rise by up to USD 20/mt, while atmosphere of insecurity prevails in the region and this has obscured business environment.

These conditions do not allow any price increase, but price reduction is also unlikely because there is no room for it.

 

In the domestic market:

Last week, the market experienced different tensions including sharp increase of DRI price, upward ex-rate and government's attempt to control currency market by issuing deposit bonds with 30% interest rate. All these events made economic activists prefer waiting.

Higher DRI price caused an increase in billet price, which affected base price of rebar and increased its demand for long-term sales.

The release of bonds caused the stock market to fall, but its impact is still unknown, USD rate, which had gone up to Rials 600,000/1 USD  returned to Rials 580,000 in open market, and the possibility of further decline is speculated, unless the political situation does not allow it.

DRI market condition will intensify with the recent rains and cold weather and will affect billet production.  Prices will go up and due to the increase in billet price last week, base price of rebar will also go up in the stock market. Reaction of demand against it, is still not known.

Flat products prices have increased due to the decrease in Mobarakeh Steel co supply level, but demand level dropped over the weekend, and this caused a relative drop in price of some sizes. It is expected that the supply of Mobarakeh Steel co will improve in coming days, in which case prices will naturally decrease.

If nothing special happens, market sentiment indicate stability of prices, unless possible billet price increase on Monday may disrupts the market.

 

CBI average ex-rate for Steel Products (SANA): Rials 391,660 / 1USD
05 Feb 2024
M.Chitsaz
Iran Steel News Bulletin
IFNAA.IR
IRSTEEL.COM

 

Feb 5, 2024 13:32
Number of visit : 165

Comments

Sender name is required
Email is required
Characters left: 500
Comment is required