Domestic ferrous scrap prices in Mumbai rose on Monday as mills restocked inventories.
The Davis Index for HMS 1 &2 (80:20) rose by Rs200/mt from Friday to Rs20,300/mt del Mumbai mill and the index for sponge iron settled at Rs15,800/mt del Mumbai mill, up by Rs100/mt.
Trades, however, are likely to dwindle in the near term as most mills have scheduled maintenance plans in the coming days and melting activity is set to decline. Scrap transactions and production will pick up only after the south-west monsoons start its withdrawal.
Mandi Gobindgarh market is set to remain closed until Tuesday as COVID-19 cases continue to surge in North India. In the absence of any activity, the index for HMS 1&2 (80:20) settled unchanged at Rs20,450/mt del mill and the index for sponge iron settled at Rs19,200/mt del mill, also unchanged. The market will follow a five-day week till July 26 at the minimum. On the weekends, trades will halt, documentation and bookings, if any, will be dispatched during the upcoming week.