The daily Davis Index for HMS 1&2 (80:20) rose by Rs200/mt ($2.75/mt) to Rs26,000/mt ($356.94/mt) del Mandi Gobindgarh mill amid tight supply. The demand for finished steel is limited due to liquidity crunch resulting in piled-up inventory. The mills are cautiously buying amid looming uncertainty about price direction. Sponge iron offers declined by Rs400/mt to Rs24,000/mt with limited buying at these current levels.
In Mumbai, the daily Davis Index for HMS 1&2 (80:20) settled flat at Rs26,500/mt del mill. Mills indicated that prices have bottomed out and are likely to improve in the coming days. The index for Sponge iron declined by Rs350/mt to Rs22,850/mt del Mumbai mill amid muted demand.
($1=Rs72.84)