The daily Davis Index for billet in Mumbai Tuesday rose by Rs300/mt ($4.08/mt) to Rs31,200/mt ($425.06/mt) ex-works on increased imported scrap prices. Fewer deals reported at index prices. The index for rebar was up by Rs400/mt ($5.44/mt) at Rs34,700/mt ($472.75/mt) ex-works Mumbai, however, rebar demand was moderate following price hike.
In Raipur, the daily index for billet remain unchanged to settle at Rs29,800/mt ex-works on limited deals. Pellet sponge last traded at Rs19,300/mt ex-works. No deals were heard on Tuesday. Pellet prices have reduced by 400-500/mt in Central India and this is likely to put pressure on sponge iron in the near term. The daily index for rebar remained flat at Rs32,800/mt ex-works Raipur. Trading activity weakened amid buyers delaying trades for better prices.
In Mandi Gobindgarh, the daily Davis Index for ingot marginally rose by Rs50/mt to settle at Rs32,650/mt in-line with a rise in scrap prices. The index for rebar remained flat at Rs37,600/mt ex-works.
In Durgapur, the bi-weekly index for rebar rose by by Rs950/mt ($12.99/mt) to Rs31,600mt ($432.25/mt) ex-works on Tuesday from 30,650/mt ($419.25/mt) amid sluggish demand. A few deals were reported at the index price.
The manufacturers are doubtful if the uptick in prices would be accepted by the market. The index for billet rose by Rs1,400/mt ($19.15/mt) to Rs30,000 ($410.36/mt) ex-works Durgapur.
In Chennai, the bi-weekly, Davis Index for rebar increased by Rs125/mt ($1.70/mt) to Rs 34,750/mt ($475.34/mt) from Rs34,625/mt ($473.63/mt) with a few deals reported at the index price. The index for billet, however, remained unchanged at Rs30,500/mt ($417.54/mt).
Few mills in Jalna are booking imported scrap due to higher local scrap prices. Davis Index heard a deal for Dubai-origin mix #1 HMS and P&S at $298/mt cfr Nhava Sheva. In Jalna, the bi-weekly index for billet was up by Rs100/mt at Rs30,600/mt ex-works. The bi-weekly index for rebar was up by Rs900/mt to Rs34,200/mt ex-works on supporting demand.
In Gujarat, the bi-weekly index for billet Tuesday rose by Rs100/mt to Rs30,400/mt ex-works. Buyers and sellers were quiet after healthy bookings on Monday. The bi-weekly index for rebar rose by Rs400/mt to Rs33,900/mt ex-works.
In Ludhiana, the bi-weekly index for ingot was up by Rs700/mt at Rs33,400/mt ex-works with a similar movement in local scrap prices.