The analytical service of IIS Metallosnabzheniye i Selling continues publishing the MSS-TR (Market Temperature) index. The value of this index is determined by means of expert polls on a weekly basis.
The incomplete pre-holiday week was quite predictably not characterized by a high level of business activity on the Russian market of steel products. A number of experts reported a decrease in sales and weakening of demand as compared to the last week of February. And sometimes the decline was quite significant.
At the same time, prices are rising across the market. Almost all the experts involved in the compilation of the index, point to an increase in all commodity groups and predict the continuation of this trend in the second half of March. It is noted that the market is expecting the beginning of the seasonal upswing in the construction industry.
However, the rise in the price of steel products on the spot can be attributed not only to the improvement of the conjuncture. A number of companies report an increase in costs associated primarily with re-lending at higher interest rates. Moreover, this factor has a significant impact on the profitability of companies.
The value of the index «MSS-TR. Results» index for the past part-time working week from March 4 to 7 after two weeks of growth fell by 3.90 p.p. compared to the previous period to 50.87 points. At the same time, despite the decline, it remained above the 50-point threshold separating the rise and warming from the fall and cooling.