The daily Davis Index for HMS 1&2 (80:20) and Sponge iron settled unchanged at Rs23,800/mt ($324.73/mt) del Mumbai mill and Rs20,200/mt ($275.61/mt) del mill, respectively.
Despite increased supply of domestic scrap, prices remained firm amid healthy demand. Mills in the western part of the country have started receiving better demand for their products with increase in construction activities.
In Mandi Gobindgarh, the index for HMS 1&2 (80:20) rose by Rs300/mt to Rs23,000/mt del mill, while the index for Sponge iron settled unchanged at Rs22,100/mt del mill. Traders in North India believe demand for steel, and thereby for ferrous scrap will sustain till the end of October at the most. Some mills even believe finished steel prices could rise in the coming week as economic activities slowly pick pace in different parts of the country.