The daily Davis Index for Turkish imports of US-origin HMS 1&2 (80:20) rose by $2/mt to $286.47/mt cfr on Wednesday as purchases continued amid better rebar sales.
Three ferrous scrap bookings were reported in the Turkish market. In one deal, a Marmara-based mill bought 16,000mt of HMS 1&2 (80:20) at $288/mt cfr and 16,000mt of shredded scrap at $293/mt cfr from a US supplier. In another transaction, an Izmir-based mill closed a deal with a Belgian supplier at an average price of $290.50/mt cfr for 10,000mt of HMS 1&2 (75:25), 15,0000mt of shredded scrap, 5,000mt of busheling and 10,000mt of bonus material. In the third deal, a Karadeniz-based mill signed a contract at an average price of $286/mt cfr for 20,000mt of HMS 1&2 (75:25), 5,000mt of shredded scrap, 10,000mt of HMS 1 and P&S 5ft.
Buying activity is high in the Turkish ferrous scrap market as rebar sales revived. Scrap suppliers are bullish and are now targeting $295/mt cfr for US and Baltic-origin HMS 1&2 (80:20).
Rebar prices increase
Daily domestic rebar spot prices in Turkey rose by TRY30/mt ($4/mt) from the lower end of the previous range to TRY3,850-3,870/mt ex-works, including 18pc VAT, on Wednesday. Trading activity improved significantly, and an Izmir-based mill was heard to have sold around 20,000mt of rebar, and some others too.
Exported rebar prices in Turkey climbed by $5/mt cfr to $440-445/mt fob, with some offers reported at $450/mt fob. Turkish mills were heard to have sold two or three cargoes of rebar to the Far East recently. Opinions vary among market participants about prices from $432-433/mt fob to $437-438/mt fob in those sales as they differently estimate freight rates.
($1 = TRY7.39)