Billet
Billet price went
down during last week in Iran domestic market from USD 565/mt to USD 554/mt
ex-work including VAT. The insistence of IME to control prices shows
that market should not expect billet price to rise in the coming days.
Long
Products
Rebar price was downward from USD 657/mt to USD 648/mt as market was quiet and expecting
DRI price to decline. I-beam price also dropped by USD 8/mt to USD 692/mt
ex-work including VAT.
Flat
Products
HRC market was
calm and there were more sellers than buyers, that's why its price was in a
downward trend. HRC 2 mm thickness ex-work Mobarakeh was
USD 985/mt by beginning of the week, which reached USD 977 /mt by Wednesday.
Disturbance in
supply increased price of Oxin co HRP from USD 838/mt to USD 873/mt ny end of
the week.
Higher supply
and liquidity pressure made CRC market bearish and was
down from USD 1171/mt to USD 1083/mt ex-work including VAT.
Ex-rate
fluctuations affected HDG market, and with its drop, HDG price also started a
downward trend. It changed from USD 1101/mt to USD 1170/t and dropped to USD 1157/mt
by end of the week.
Weekly
Analysis:
In the world
market:
World steel
market is in waiting mood and worried. Oil price is not likely to decrease. The world is waiting
for new data from China and hopes that the announced growth rate of the third
quarter will be one percent higher than the estimates. The world is worried about the increase in oil
price, which will cause inflation and economic stagnation. For now, we have to wait for the outcome of
the war in Gaza and its political reactions. Next week, maybe the political horizon will be
brighter.
In the domestic market:
Three factors have
affected the market:
First, the government's policy in controlling
inflation rate which will continue until the end of the year.
Therefor, billet price price would fluctuate at USD 511-538/mt.
Second, the issue of oil export which has been
upward from 6 months ago, so the government's hands are not empty of currency.
Third, the removal of Iran's missile sanctions
by the United Nations on Wednesday. Although this should
be done, it shows serious changes in foreign policy and Iran's role in the
world. The process of
events after the agreement between Iran and Saudi Arabia is too serious to be
analyzed soon. The world has
accepted Iran's regional power, but it must also accept Iran's role, which is
not too late, as a matter of fact, economic changes will come after that.
CBI average
ex-rate for Steel Products (SANA): Rials 371,502 / 1USD
23 Oct 2023
M.Chitsaz
Iran Steel News
Bulletin
IFNAA.IR
IRSTEEL.COM