Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

Domestic HMS prices in Mandi Gobindgarh and Mumbai markets trended flat to up on Wednesday. Prices in the past two weeks have been holding firm amid a recovery in finished steel prices and a gradual rise in end-user demand.


As the country goes into a ‘begin-again’ phase, most business activities have started to resume. In the Mumbai market, the daily Davis Index for HMS 1&2 (80:20) settled unchanged at Rs22,500/mt ($300.55/mt) delivered mill and the index for sponge iron settled at Rs19,050/mt ($254.44) delivered mill, up by Rs500/mt.


Iron ore prices in the international market as well as in the domestic continue to be bullish. These prices thus had a bearing on sponge iron prices. The rise in sponge iron prices is a seasonal phenomenon, with iron extraction remaining hampered in the monsoon months. Supporting the price rise is also a shortage of material.


In the Mandi Gobindgarh market, the index for HMS 1&2 (80:20) settled at Rs21,600/mt delivered mill, up by Rs300/mt and the index for sponge iron trended up by Rs100/mt to Rs20,000/mt del mill.


With laborers slowly returning to work, most stalled projects have resumed. In the coming few days, the market is expected to stay strong, opine steelmakers. 


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