[Your shopping cart is empty


Iran Steel Market Trend in Week 39th, 2022

Iran Steel Market Trend in Week 39th, 2022

Weekly Analysis:

Oil price has been around USD 80/ barrel; OPEC has held a meeting to reduce supply level by one million tons to keep the price in the range of USD90/ barrel. Oil price trend has remained confused for now. Goldman Sachs estimates three months ago was minimum USD63 and maximum USD110 a barrel. An increase in the price of oil means inflation, which the West is fighting against, and a decrease in it price means an increase in dollar rate. If oil goes up, billet price will go up; if it goes down, exchange rate will stimulate higher exports from exporting countries.

Globally, scrap supply is being limited due to cold weather, and this will increase its price. Price fluctuations is only affected by the finished cost price, not supply and demand level.

On the demand side, market will remain calm and naturally supply will decrease. Chinese market is on Holidays and waiting for the Congress meeting and its policies, so the market will not see any serious changes in the next two weeks.

In Iran domestic market, rebar should remain stable because its supply is limited, but price of billet will be faced with fluctuations of exchange rate with the increase in exports. Of course, supply limitation will support prices. Mobarakeh Steel co will face many problems in IME if it follows global market and lowers prices in the domestic market. Therefore, the policy of a drastic price reduction cannot be implemented. In general, according to the caution of the market operators, inventory levels at warehouses will be kept at minimum and the determining factor will be exchange market changes.

CBI weekly average ex-rate for Steel Products (SANA): Rials 268,058 / 1USD

03 Oct 2022


Iran Steel News Bulletin



Oct 3, 2022 11:57
Number of visit : 630


Sender name is required
Email is required
Characters left: 500
Comment is required