Northern European mills have been offering and trading hot-rolled coil at lower prices in a bid to attract more orders, despite an anticipated price increase, sources told Fastmarkets on Monday November 25.
Northern Europe
Although Northern European mills have been speculating about a rise in HRC offers of about ?,?30 per tonne, targeting ?,?450 ($496) per tonne ex-works, they have been offering and trading the material at ?,?410-425 per tonne ex-works, according to market sources.
Mills are believed to be struggling with their order books for fourth-quarter rolling and are therefore making deals at lower prices.
These price levels are below Fastmarkets' latest assessment for
steel HRC, domestic, ex-works Northern Europe, which was at ?,?420-425 per tonne on November 20.
Meanwhile, the mood in the market remains positive as participants believe that production cuts across Europe and the recent stoppage of Italy's Ilva will result in a price rise by mid-December when buyers start making deals for the first quarter....