Indian domestic ferrous scrap prices rose on Friday fuelled by bullish global markets and increased demand from steelmakers.
In the North, the daily Davis Index for HMS 1&2 (80:20) rose by Rs200/mt to Rs21,600/mt del Mandi Gobindgarh. The Davis Index for sponge iron declined by Rs800/mt to Rs21,200/mt and transactions were reported at the index price.
The daily Davis Index for HMS 1&2 (80:20) in Mumbai rose by Rs100/mt to Rs20800/mt del mills as steelmaker increased their inventories to meet monthly production targets. Prices also mirrored the increase in imported scrap prices. The Davis index for shredded scrap cfr Nhava Sheva settled at $289/mt Friday, up by $7/mt from a week ago.
The daily index for sponge iron remained unchanged at Rs20,300/mt.
A further uptick in ferrous prices is likely next week amid increased demand if manufacturers continue to restock inventories.