The daily Davis Index for billet in Mumbai was marginally up by Rs50/mt to Rs30,200/mt ($409.76/mt) ex-works on Wednesday on limited deals. Market participants are anticipating further decline in raw material prices including imported scrap and sponge iron prices in near term. Hence, buyers are prefering to wait and watch.
The index for rebar remained flat at Rs33,700/mt ($457.01/mt) ex-works Mumbai with limited trades.
Few primary mills are expecting a price hike in flat products by Rs1,000-1,500/mt in early October 2020 but long products are unlikely to increase due to slow demand in the construction activities as per Davis Index sources.
In Raipur, the daily Index for billet unchanged to settle at Rs28,800/mt ex-works Raipur on Tuesday on lack of deals. A trader based in Raipur shared that market for finished steel rebar continued to remain dull despite rebar prices firm. The daily index for rebar is flat and settled at Rs32,300/mt ex-works Raipur on low rebar sales. Pellet sponge are still offered at Rs18,500-18,600/mt ex-works, but no takers were heard at these prices.
In Mandi Gobindgarh, the daily Davis Indexes for ingot and rebar were flat to Rs 31,900/mt and Rs37,000/mt ex- works, respectively.