The daily Davis Index for billet in Mumbai on Wednesday fell by Rs350/mt to Rs31,110/mt ($415.77/mt) ex-works on increased selling pressure due to absence of trade deals. Market participants are expecting a price correction after the long upward rally in the market Billet offers were at 31,200/mt and bid at Rs31,000/mt but no deals were reported. Billet prices continuously surge by Rs1,800/mt since the starting of the month. Heavy monsoon in Western India also dampened trade activities. The daily Davis Index for rebar remained unchanged at Rs34,800/mt ($465.24/mt) ex-works Mumbai with no bookings being heard at index prices.
In Raipur, the daily Davis Index for billet fell significantly by Rs800/mt to settle at Rs30,750/mt ($411.09/mt) ex-works with the fall in rebar prices as supply exceeded demand and reduced procurement of billet in rolling mills. Pellet sponge offers fell by Rs400/mt at Rs21,000/mt ($280.74/mt) ex-works Raipur from the prior day. The daily index for rebar was down by Rs500/mt to Rs34,000/mt ($454.54/mt) ex-works due to weak demand.
In Mandi Gobindgarh, the daily index for ingot fell by Rs600/mt and settled at Rs33,200/mt ($443.85/mt) ex-works following a fall in rebar price. The daily index for rebar slumped by Rs200/mt at Rs38,500/mt ($514.70mt) ex-works. Steel mills are expecting further downslide in rebar and billet prices due to lack of demand for finished steel.