A seasonal effect becomes noticeable

The analytical service of “Metal Supply & Sales” Magazine continues publishing the MCC-TM Index (Temperature of the market). The index value is determined through weekly expert surveys.

According to expert feedback, the Russian steel market has remained in growth territory for the third consecutive week. However, a gap persists between rebar and medium-sized profile pipes on one side and hot-rolled steel products on the other. Demand for steel construction products has recently improved, whereas the hot-rolled steel products sector shows far less positivity.

Experts also generally assess the pricing environment on this market negatively. For rebar, many reports note slight price declines, though some indicate increases. Meanwhile, pipe prices are gradually rising from their lows. Visible consumption of these products is slowly increasing, albeit from a low starting point.

The value of the “MCC-TM. Results” index for the past workweek (March 24–28) resumed growth, adding 0.56 percentage points compared to the previous period to reach 51.17 points. This marks the third consecutive week the index has exceeded the 50-point threshold, which separates growth from contraction.

Over the past three months, expectations have generally been assessed higher than outcomes. Even now, the value of the “MCC-TM. Expectations* index for the current workweek (March 31–April 4), despite a 0.53 percentage point decline from the previous period, stands at 51.87 points—still higher than the results.

It is worth recalling that participants in the expert survey are asked to evaluate, on a 10-point scale, the results of the past week and expectations for the next week regarding:

- Medium-sized rebar A500C (12–16 mm)

- 4–10 mm thick St3 hot-rolled sheet

- Medium-sized profile pipes (60x40 – 80x80)

The evaluation covers the following parameters:

Sales (in money terms)

Demand (Consumer-oriented, expressed in natural indicators - by tonnage, number of requests)

Stock reserves

Purchases (by tonnage – of the mill products from manufacturers for distributors)

Costs (for electricity, remuneration of labour, taxes, raw materials and other factors affecting the producing costs)

Prices