Amid an improvement in steel demand and prices, mills in India resumed shredded trades this week. Bullish sentiment in the domestic market for finished flats and billets in the export market supported trades.
The Davis Index for containerized shredded, Friday, settled at $302.28/mt cfr India subcontinent, up by $1.70/mt from Thursday and $9.31/mt from last Friday. Ferrous scrap supply remains low and yards kept their offers firm amid sustained bulk bookings by Turkish mills in the week.The Davis Index for containerized US-origin HMS 1&2 (80:20) settled at $283.19/mt cfr India subcontinent, up by $1.22/mt from Thursday.
The daily index for containerized shredded settled at $301.04/mt cfr Nhava Sheva on Friday, up by $3.04/mt from a day ago and by $9.71/mt from the prior week. Yards from the US and UK were offering material at $305-310/mt cfr Nhava Sheva on Friday, rejecting bids of $295/mt cfr Nhava Sheva.
A steel maker in the southern region booked US-origin containerized shredded at around $310/mt cfr Vizag. A Mumbai-based automaker booked shredded at $300/mt cfr Nhava Sheva and an alloy maker was offered the grade at $305-307/mt cfr Nhava Sheva.
The Davis Index for UAE-origin containerized HMS 1&2 (80:20) settled at $285/mt cfr Nhava Sheva, up by $13.75/mt from the prior week. UAE suppliers stopped loading material amid Eid holidays. Trades are expected to pick up once the holidays are over.
A few trades for Brazilian and Australian-origin HMS 1&2 (80:20) closed at $275/mt cfr Mundra and Nhava Sheva. UK-origin HMS 1&2 (80:20) traded at $265-270/mt cfr Qasim.
The daily index for US-origin HMS 1&2 (80:20) settled at $278.64/mt cfr Nhava Sheva, up by $3.22/mt. Suppliers were not ready to accept bids below $278-280/mt cfr Nhava Sheva.
The index for US-origin HMS 1&2 (80:20) settled at $281.43/mt cfr Nhava Sheva, up by $2.79/mt from Thursday and up by $10.49/mt from the prior week. The index for South African HMS 1&2 (80:20) settled at $278/mt cfr Nhava Sheva, up by $10/mt from the prior week, though no fresh offers were available in the market amid the ongoing two months ban.
The weekly Davis Index for UK/ Europe-origin HMS 1&2 (80:20) settled at $268/mt cfr Nhava Sheva, up by $7/mt from the prior week. Trades for the grade in containers concluded at $265-270/mt cfr Nhava Sheva and $275/mt cfr Chennai. Australia-origin HMS 1&2 (80:20) was offered at $275-280/mt cfr Nhava Sheva and Mundra, up by $5/mt from the prior week.
In Goa, mills stayed away from imported scrap trades as finished steel sales remain sluggish. Chennai buyers booked West Africa origin HMS 1&2 (80:20) at $270-275/mt cfr, up by $10/mt from the prior week.
The weekly indexes for busheling and P&S in containers settled at $310/mt cfr and $300/mt cfr Nhava Sheva, up by $7/mt and $10/mt from the prior week. A few offers for busheling were at $315-320/mt cfr Nhava Sheva with no buyers in the market.
The weekly index for Turning scrap rose $10/mt to $255/mt cfr Nhava Sheva. A Brazilian trader was heard offering Turning and LMS bundles at $260/mt cfr Chennai.
Market update: Taiwan
On Friday, imported ferrous prices were unchanged with no major trades heard. Offers increased further with sustained trades in Turkey. Trades in South Asian markets have also started rising which kept the market sentiment healthy.
The daily Davis Index for containerized US-origin HMS 1&2 (80:20) was flat at $248/mt cfr Taiwan on Friday. Demand for finished steel continued to be under pressure, while few trades for South American HMS 1&2 (70:30) in FEUs were heard at $233-235/mt cfr Taiwan.
Offers for US-origin HMS 1&2 (80:20) were at $250-255/mt cfr Taiwan on Friday. The Davis Index for HMS 1&2 (80:20) rose by another $3/mt to $278.15/mt cfr Turkey on Thursday. Market participants are expecting a further rise in offer prices.
Japanese small bulk cargoes of HMS 1&2 (50:50) were offered at $262-268/mt cfr Taiwan with a few trades reported in the range. Domestic ferrous scrap prices in Japan increased in line with Tokyo steel’s price hike announced by JPY500/mt at its Utsunomiya plant on July 28.
($1=Rs74.81)