Domestic aluminium prices for EC wire, domestic Tense (old cast), and Taint/Tabor (old sheet) prices dropped in Delhi and Mumbai on the back of the weak demand as manufacturers did not hear new bids from China for auto alloys.
The domestic alloy demand weakened in the Northern market. However, domestic aluminium utensils prices rose for Mumbai consumers on the back of shortage in the market.
LME three-month official contract for aluminium dropped by $23.5/mt to settle at $1,982.5/mt on Feb 1 from $2,006/mt on Jan 25.
Manufacturers across India witnessed weak demand from the domestic auto sector. The export orders from China dropped as many industrial units in that country are closed till the Chinese Lunar New Year on Feb 12.
The weekly Davis Indexes for the domestic old cast (Purja/Tense) on Monday in Delhi and Mumbai settled at Rs114,000/mt del consumer, down by Rs2,000/mt ($27.39/mt), and at Rs118,000/mt del consumer by Rs750/mt, respectively. Market participants in Delhi reported slow demand. Participants in Mumbai refused to reduce offers, quoting Rs120,000/mt as secondary manufacturers continued to buy old cast to complete existing alloy orders in some parts of Western Maharashtra. Participants reported a drop in prices on the back of the dip in three-month official contract for aluminium.
The weekly Davis Index for domestic Taint/Tabor (old sheet) settled at Rs118,000/mt del Delhi consumer, down by Rs2,000/mt amid shortage. In Mumbai, the weekly index for domestic Taint/Tabor (old sheet) settled at Rs121,500/mt del consumer, down by Rs1,500/mt.
The weekly Davis Indexes for domestic EC wire Tuesday in Delhi settled at Rs152,250/mt del consumer, down by Rs2,750/mt while in Mumbai it dipped to Rs153,500/mt del consumer, down by Rs1,500/mt.
The weekly Davis Index for aluminium utensil settled at Rs125,000/mt del Delhi consumer, down by Rs3,000/mt; and in Mumbai at Rs124,200/mt del consumer, up by Rs1,200/mt amidst a volatile market.