The daily Davis Index for Turkish imports of US-origin HMS 1&2 (80:20) climbed by $0.29/mt to $255.79/mt cfr on Thursday as trading resumed.
Negotiations during the week resulted in some deals in Turkey’s ferrous scrap market with mills purchasing at least two deeps-sea cargoes on July 8. In one transaction, a Scandinavian supplier was heard to have sold HMS 1&2 (80:20) at around $256/mt cfr to Turkey, while in another a European exporter was heard to have accepted a bid of $249/mt cfr for HMS 1&2 (80:20).
Several producers are still looking for scrap cargoes, bidding in the range of $250-255/mt cfr for HMS 1&2 (80:20) from the USA and the Baltic region. However, suppliers are firm and targeting a minimum of $260/mt cfr because material availability for Turkey decreased amid sales from the USA and Europe to Egypt last week.
Market participants also expect some transactions in the Azov-Black Sea basin since there is a demand for short-sea cargoes too.
Local rebar sales revive
Daily domestic rebar spot prices in Turkey increased by TRY30/mt ($4/mt) from the lower end of the previous range to TRY3,370-3,410/mt ex-works, including 18pc VAT, on Thursday as business activity livened up.
Turkish integrated mill Kardemir sold around 30,000mt of rebar at TRY3,386.60/mt ex-works with 25pc payment in advance, 25pc in 30 days, 25pc in 60 days, and the remainder in 90 days for orders for 500mt and more.
Exported Turkish rebar sales, on the other hand, remained slow at $410-415/mt fob.
($1 = TRY6.87)