The Turkish long steel supply chain Wednesday saw further slippages in steel prices after previous heavy falls led by scrap, adding to billet's relative weakness compared to imported scrap and rebar, according to Platts Turkey ARC indexes, which track price relationships for scrap, rebar and billets.
Scrap was steady after TSI's Turkey imports HMS 80/20 price benchmark Tuesday saw a $19/mt drop, while rebar and billet continued to reduce further.
Scrap had fallen back eventually after stronger earlier sales before deals halted, with limited appetite and lower offer levels being reported this week.
Despite the fall, scrap's ratio to iron ore was close to peak levels, exceeding 3.8:1 scrap, comparing with TSI 62% Fe fines CFR China, each adjusted for iron content.
The Platts Turkey ARC Scrap 30-day index was at 0.28% on Wednesday, up from minus 0.25% on Tuesday.
The Turkey ARC Billet 30-day index weakened to minus 4.63% relative strength, from minus 4.29% on Tuesday. The Turkey ARC Rebar 30-day index weakened to 4.01%, from 4.37% seen Tuesday.
The degree over or below zero shows each commodity's price deviation from the 30-day and 60-day average price relationship for the three product groups, based on Turkey ARC analysis.
On a 60-day basis, scrap remained looking firm over longer trade history with rebar strongest.
The Turkey ARC indexes showed scrap at 2.17% over, and billet valued Wednesday at minus 6.44% to its 60-day average value with its peers, with rebar at 4.33%.
The key rebar/scrap spread on the day weakened to $162/mt Wednesday.
Rebar's margin over billet CFR Turkey basis increased to $87/mt, as the latest lower billet prices swelled conversion margins from previously available spreads.
