The European longs market has shown substantial weakness in demand this week, although there have been no major downward adjustments in the prices of rebar or wire rod.
In the Italian rebar market, prices have been reported at €250-260 per tonne ex-works base (€515-525 per tonne ex-works including regular extras), with lows of €240 per tonne ex-works base (€505 per tonne ex-works including regular extras). Demand remains low as end-users hesitate to make purchases, waiting for prices to reach the minimum level.
A small price recovery is happening in Germany, where increases in scrap prices and previous shortages of rebar have led to slight upward adjustments. Meanwhile, wire rod prices in Italy have declined by €5 per tonne, with drawing quality wire rod standing at €620-635 per tonne delivered and mesh grade wire rod at €605-620 per tonne delivered.
Poland is particularly affected by an unfavorable exchange rate with the dollar, which has weakened from $1 = PLN 4.14 at the beginning of the year to $1 = PLN 3.68 on June 12.
