Ingot, billet rebounded with robust trade volume on Wednesday. The daily Davis Index for billet in Mumbai surged by Rs1,000/mt ($14/mt) at Rs39,800/mt ($550/mt) ex-works due to high imported scrap prices. Some billet deals were reported at Rs39,700/mt ($549/mt).
Thereafter, billet suppliers raised offers to Rs40,000/mt ($553/mt) expecting the bullish trend to continue in the coming days as well. The index for rebar remained flat at Rs44,700/mt ($618/mt) ex-works Mumbai with healthy sales. Few mills increased rebar offers by Rs200-300/mt in the second half of the day.
In Raipur, the daily index for billet increased by Rs600/mt at Rs37,000/mt ex-works with good trades in local as well as outstation market. The price rise of ingot and billet are also supported by higher Sponge iron prices.
Pellet Sponge offers were at Rs25,600/mt ex-works with limited takers. The index for rebar remained unchanged at Rs41,000/mt ex-works Raipur due to good rebar sales. Most of the mills in Raipur have increased production of finished steel and preferred to sell rebar to meet the demand from the end-user industries.
In Mandi Gobindgarh, the daily index for ingot increased by Rs500/mt to settle at Rs39,700/mt ex-works, in line with rise in local scrap prices.