Aluminium prices for domestic Tense (old cast) prices dropped in Delhi due to weak demand as manufacturers did not get new bids from China for auto alloys while domestic alloy demand weakened in the Northern market. Domestic aluminium prices for EC Wire, old sheet, utensils were flat to up in Delhi driven by weak demand and shortage of Taint/Tabor in few markets as importers struggled to secure supply due to limited availability of containers in India.
LME three-month official contract for aluminium dropped by $22.5/mt to settle at $1,976/mt on Jan 22 from $1,998.5/mt on Jan 15.
Manufacturers in India witnessed slowing of demand from the domestic auto sector and drop in the export orders from China as the country’s industry has slowed down activities for the Chinese Lunar New Year holidays between Jan 23 to Feb 12.
The weekly Davis Index for the domestic old cast (Purja/Tense) Monday settled at Rs116,000/mt del Delhi consumer, down by Rs4,500/mt ($61.36/mt) while in Mumbai, it settled at Rs118,750/mt, down by Rs750/mt del consumer.
Subdued demand for alloys in Delhi could mean further weakness in Purja prices in the coming days. Participants in Mumbai refused to lower the offers and quoted Rs118,000- 120,000/mt even as secondary manufacturers continued to buy old cast to complete existing alloy orders in few parts of Western Maharashtra.
The weekly Davis Indexes for domestic Taint/Tabor (old sheet) settled at Rs120,000/mt del Delhi consumer, up by Rs667/mt due to shortage. In Mumbai, the index for domestic Taint/Tabor (old sheet) settled unchanged at Rs123,000/mt del consumer.
The weekly index for domestic EC wire settled unchanged at Rs155,000/mt del Delhi and Mumbai consumer.
The weekly Davis Indexes for aluminium utensil in Delhi remained unchanged at Rs128,000/mt del consumer while in Mumbai, it settled at Rs123,000/mt del consumer, down by Rs5,500/mt amidst volatile market.
($1=Rs73.33/mt)