US buyers continued to hold off on placing large orders this week as domestic and imported rebar prices dipped further, according to market sources.
Downward pressure continues to linger in the import market as inventories remain high and overpriced, said one distributor. Higher cost material that was ordered during peak pricing of around $450-$500/mt CFR recently hit the shore and has cooled demand for forward orders, sources agreed.
"Buyers are reluctant to buy any futures until things settle down and we get closer to a floor," the distributor said, adding that where exactly that floor would settle was still a big question.
S&P Global Platts on Friday lowered its daily imported rebar assessment to $363-$367/st CIF Houston, down from $372-$377/st CIF.
The Turkish rebar export market remained quiet approaching the Eid holiday, with sources in the country mixed as to whether prices would see any recovery after the holiday. US buyers said they were not expecting to get much direction for at least another week.
Domestic rebar prices in the US Southeast also continued to be pressured this week, with sources pointing to further softening as scrap prices have weakened during the September buy week.
Platts on Friday lowered its daily rebar assessment in the region to $480-$500/st ex-works, down from $490-$520/st.
Some mills were offering as low as $475/st, according to one fabricator.
"If you have the tons, you can get a good price," he said. "The mills seem to have plenty of bar piling up."
