The daily Davis Index for rebar in Mumbai remained unchanged at Rs34,800/mt ($465.24/mt) ex-works with rare bookings on Tuesday. Secondary mills held rebar offers for the second day of the week despite weak demand. The daily Davis Index for billet fell by Rs350/mt to Rs31,450/mt ($420.45/mt) ex-works. Billet offers were at 31,500/mt and bid at Rs31,400/mt but no deals were reported.
In Raipur, the daily index for rebar was down by Rs267/mt to Rs34,500/mt ($461.22/mt) ex-works amid no sale of finished steel including rebar. Mills stated that only when demand revives in both retail and projects segment, market will move upward. The daily Davis Index for billet in Raipur also fell by Rs300/mt to settle at Rs31,500/mt ($422.45/mt) ex-works. Pellet sponge offers remained at Rs21,400/mt ($286.09/mt) ex -works Raipur.
In Mandi Gobindgarh, the daily index for ingot marginally fell by Rs50/mt and settled at Rs33,800/mt ($451.87/mt ex-works. The daily index for rebar remained flat at Rs38,600/mt ($516.04mt) ex-works. Market participants have a strong feeling that if the local ingot prices rise in the near term then it may boost other markets as well.
In Chennai, the bi-weekly Davis Index for rebar rose by Rs292/mt (3.9/mt) to Rs 35,625 ($476.7/mt) from Rs35,333/mt ($472.8/mt) in the prior week amid sluggish demand. The manufacturers were forced to increase the prices amid increasing global scrap and iron ore prices to meet the cost. Moreover, the manufacturers expect prices to decline as Turkey scrap prices have started to soften by $1.25 compared to prior week.The index for billet rose by Rs675/mt (9.03/mt) to Rs31,500/mt ($421.6/mt).
In Durgapur, the bi-weekly index for rebar rose by Rs1,400/mt ($18.73/mt) to Rs34,900/mt ($467.09/mt) ex-works from 33,500/mt ($448.2/mt) on Thursday with few deals reported at index price. Manufacturers expect the prices to soften in coming months. The index for billet increased by Rs317/mt ($4.24/mt) to Rs31,900 ($426.9/mt) ex-works Durgapur.
In Jalna, the bi-weekly index for rebar was marginally down by Rs100/mt at Rs34,800/mt ($465.24mt) ex-works from last week with limited trades due to heavy monsoon across Maharashtra. Billet prices decreased by Rs150/mt to Rs31,450/mt ($420.45/mt) ex-works. Billet offers were at Rs31,500/mt but there were no takers at these prices.
In Gujarat, the bi-weekly indexes for rebar fell by Rs200/mt to Rs34,550/mt ($461.89/mt) ex-works and for billet was down by Rs100/mt to Rs32,050/mt (428.87/mt) ex-works. Few secondary mills shared that almost all the units had resumed production across Bhavnagar since the beginning of August which has increased supply and could lead to pressure in finished steel prices in the near term.
In Ludhiana, the bi-weekly index for ingot was marginally up by Rs50/mt to Rs 34,150/mt ($456.55/mt) ex-works from Thursday with limited trade.
($1= Rs74.7)