- The daily Davis Index for Turkish imports of US-origin HMS 1&2 (80:20) remained unchanged on Friday as the week finished quietly.
- Turkish mills paused ferrous scrap bookings after active purchases between late July and early August. Moreover, demand for scrap declined as rebar sales slowed down amid significant devaluation of the Turkish lira against the US dollar. Now, mills are trying to collect some more orders for rebar before announcing firm bids for scrap.
- The most recent transactions in Turkey were fixed at $285/mt cfr for HMS 1&2 (80:20) from the USA and the Baltic region a week ago. Some cargoes are still available at $286/mt cfr and higher for HMS 1&2 (80:20). None of the suppliers were heard to have reduced offers.
- Daily domestic rebar spot prices in Turkey also remained unchanged at TRY3,800-3,850/mt ex-works, including 18pc VAT, on Friday, while exported rebar prices were flat. ($1 = TRY7.38)
- The weekly Davis Index for HMS 1&2 (75:25) in the ARAG region rose by €5/mt ($6/mt) delivered dockside on Tuesday after active sales on export.
- Ferrous scrap collection prices increased in the Netherlands and Belgium as most exporters closed deals between the second half of July and early August. Turkey—where prices for European HMS 1&2 (75:25) and HMS 1&2 (80:20) reached around $273-277/mt cfr and $278-282/mt cfr, respectively—was the main buyer. (€1 = $1.18)
- The weekly Davis Index for HMS 1&2 (80:20) in Russia’s Baltic Sea region increased by $3/mt fob on Monday and rose by $5/mt fob in the Black Sea region.
- Positive sentiment reigned in the export market as prices increased amid strong demand in Turkey last week leading Russian ferrous scrap exporters to close several deals and achieve higher prices in the first week of August.
- Collection prices for ferrous scrap also increased in Russia amid slow inflow as exporters competed for tonnages to complete their cargoes. One supplier from St Petersburg was heard to have sold around 90,000mt of scrap to Turkey for August shipment.
- The weekly Davis Index for HMS 1&2 (80:20) rose by RUB875/mt ($12/mt) at St Petersburg dock on Monday and by RUB700/mt ($9.50/mt) at Rostov-on-Don dock.
- Scrap collectors are also ready to pay a premium of RUB200-300/mt ($3-4/mt) for a supply of 100mt and more. ($1 = RUB73.51)
- Davis Index’ weekly north and south UK HMS 1&2 (80:20) ferrous scrap indices both stood at £160/mt ($210/mt) delivered dockside, on Tuesday.
- Turkish HMS 1&2 (80:20) ferrous scrap import prices have met resistance at $285/mt, cfr Turkey, over the past three working days.
- As a result, most British bulk processors were reluctant to accept any further increases in dockside collection prices to protect their margins.
- The lull in export activity and stagnant export prices were a welcome respite for some British ferrous scrap traders choosing to take a holiday during this period, while other suppliers devoted more attention to monthly mill-yard negotiations with the country’s steel producers last week. (£1 = $1.31).
- Davis Index’ monthly UK 1&2 Old steel and 3B ferrous scrap indices both increased by £13/mt ($17/mt) delivered mill following the conclusion of mill-yard negotiations in August.
- British steel producers opened negotiations early last week with local ferrous scrap merchants at £10/mt higher compared with July settlements, though suppliers soon came back with demands of up £15/mt.
- A longer-term sustainable recovery in consumer confidence remains to be seen, even though released pent up demand has supported a sharp rebound in domestic construction and manufacturing activity from the lows witnessed during the lockdown period.
- UK mills have maintained relatively low production schedules, and underlying ferrous scrap consumption, until domestic apparent steel demand recovers to more healthy levels.
- Domestic mill-yard settlements have become more entwined with the weekly UK ferrous scrap dockside market, given that delivered to mill prices have settled at £10-15/mt above dockside rates over the past few months, largely representing freight costs. (£1 = $1.31)
- Davis Index’ weekly northern Spain HMS 1&2 (80:20) and shredded small bulk ferrous scrap indices increased by €5/mt on Friday.
- Spanish mills accepted modest increases in small bulk shortsea ferrous scrap import prices over the past week to supplement supplies of lower-priced domestic material.
- Bulk exporters asserted last week that robust major seaborne benchmarks, particularly to Turkey, should by proxy mark the Spanish HMS 1&2 (80:20) import market at around €225/mt.
- Some UK & EU ferrous scrap traders have been pushing for levels closer to €230-235/mt to account for any possible deductions for any “dirt” or impurities in the cargoes. (€1 = $ 1.18)
- Davis Index’s monthly Spanish consumer ferrous scrap indices increased by €5/mt ($6/mt) over the past month following the conclusion of recent deals in mid-August.
- Spanish steel producers and ferrous scrap traders noted that better local supply had significantly decreased their reliance on import cargoes. In fact, availability has improved to the point where domestic HMS 1&2 (80:20) benchmarks traded at a €10-15/mt discount to imports of the same grade in August.
- While local scrap supply has improved, it is highly likely that reduced mill capacity utilization has exacerbated the availability of the material in the market.
- Spanish ferrous scrap consumption has deteriorated in tandem with steel production, as mills have scaled back output in response to decimated finished steel demand. (€1 = $ 1.18)
- Davis Index’s monthly German ferrous consumer scrap indices increased by around €10/mt ($12/mt), depending on grade and location, following the conclusion of mill-yard negotiations in August.
- German ferrous scrap buyers noted, purchasing activity had picked up over the past two weeks, as the outlook for September’s domestic production schedules improved in response to growing order books for construction steel.
- While local electric arc furnaces producing construction-grade steel have been operating between 40-60pc capacity utilization, some German mills expect operating rates to climb to somewhere close to 80pc next month.
- Domestic ferrous scrap benchmarks have also been buoyed by the recent strength in major seaborne markets over the past month as German steel producers have had to raise their purchase prices to secure sufficient tons.
- The North and South German monthly ferrous scrap indices declined by €10-19/mt and €7-10/mt, respectively, depending on grade for Sorte.
- In East and West Germany, ferrous scrap indices fell by €2-6/mt and €9-14/mt, respectively, over the past month for Sorte depending on grade. (€1 = $ 1.18)
- US East Coast and Houston dock prices for ferrous scrap were flat, save for soft upward movements on strong export activity, and pricing upside in domestic trading last week.
- East Coast dock collection prices were at $215-220/gt for HMS 1&2 (80:20) on Tuesday, in line with $5-10/gt increases anticipated by sellers last week. There is little clarity on the sustainability of export strength because of persistent market uncertainty.
- Export destination buyers have had a meek interest in securing material this week with very few offers reported above $285/mt cfr Turkey for HMS 1&2 (80:20) from US sellers.
- In Boston, the weekly Davis Index for export yard HMS 1&2 (80:20) increased by $5/gt, while P&S 5ft and shredder feed rose by $4/gt and $6/gt, respectively.
- The weekly Davis Index for export yard buying prices in New York increased by $3/gt for HMS 1&2 (80:20) while P&S 5ft rose by $4/gt. Shredder feed moved up by $6/gt.
- In Philadelphia, the Davis index for export yard collection prices of HMS 1&2 (80:20), P&S 5ft, and shredder feed increased by $5/gt.
- The weekly Davis Indexes in Houston grew by $7/gt for both HMS 1&2 (80:20) and P&S 5ft, while the shredder feed index increased by $5/gt.
- On the US West Coast, ferrous scrap dock prices ticked up on significant increases at Los Angeles docks on Tuesday.
- Competing scrap sources such as the EU, Russia, and Australia continued at a slight uptick this week.
- Some sources believe that scrap import prices for Turkey and Asian bulk may have hit the top range given limited steel demand in many Asian domestic markets.
- Japanese export scrap offers also continued strong, thereby, supporting the US scrap export prices in the west.
- The weekly Davis Indexes in Portland increased again after the larger leap last week. HMS 1&2 (80:20) rose by $3/gt, while P&S 5ft grew by $8/gt. The index for shredder feed inched up by $1/gt.
- The weekly Davis Indexes in San Francisco increased robustly last week but encountered a small correction on Tuesday over concerns that export may have reached its immediate high point. The index for HMS 1&2 (80:20) decreased by $3/gt, P&S 5ft fell by $4/gt, and shredder feed declined by $3/gt.
- In Los Angeles, the weekly Davis Indexes increased for HMS 1&2 (80:20) by $23/gt, while P&S 5ft rose by $28/gt. Shredder feed went up by $22/gt. As expected last week, the momentum from the northern ports pushed prices up at LA docks this week.
- US containerized ferrous scrap indexes rose on the West Coast for the fifth consecutive week and went up on the East Coast for the third-straight week.
- On the East Coast, sellers received consistent inquiries from Asian buyers for containers, particularly for higher grades.
- The overall economic uncertainty from COVID-19 resulted in scrap yards receiving fewer consumer goods. They also reported fewer cars being shredded and processed fewer obsolete grades from demolition projects.
- Sellers anticipate containerized prices to rise by $5-10/mt over the next few weeks on competing demand for scrap to meet more vessel purchases this month and September shipments to Turkey.
- Turkish buying prices have already peaked, though some predict limited $5/mt increases on bulk import prices to Turkey.
- Several US rebar dealers found the recent Turkish offers untenable and preferred domestic sourcing.
- The weekly Davis Index in New York for #1 busheling increased by $6/mt while HMS 1&2 (80:20) increased by $11/mt. P&S 5ft rose by $6/mt and shredded increased by $5/mt. The index for machine shop turnings rose by $21/mt as more buyers sought the grade, which is in limited supply.
- Export activity could support containerized prices on the West Coast through this month. Inquiries have continued, but LA brokers reported hesitation from buyers for anything higher than $240-245/mt fas on HMS 1&2 (80:20). However, sellers reported an uptick in prices due to high demand and limited inventories.
- Imported scrap price rises in India, tighter domestic supplies, and active inquiries from Bangladesh, Pakistan, and other Asian destinations, are supporting US export scrap prices.
- The weekly Davis Index in Los Angeles for both #1 busheling and P&S 5ft increased by $11/mt while HMS 1&2 (80:20) went up by $6/mt.
- The largest dock in Los Angeles actively sought inventories of P&S 5ft, possibly to satisfy bulk commitments. Busheling was actively sought by brokers for container loads.
- The Davis Indexes in San Francisco ticked up with #1 busheling increasing by $7/mt, HMS 1&2 (80:20) rising by $6/mt, and P&S 5ft and shredded both going up by $10/mt.
- The weekly Davis Indexes in Seattle also increased, with #1 busheling rising by $12/mt and HMS 1&2 (80:20) increasing by $9/mt close on the heels of the $10/mt rise on P&S 5ft.
- Domestic ferrous scrap prices were flat across all three regions in Mexico this week. However, the ferrous scrap market on both sides of the border expects mills to increase their pricing for the September trade.
- In Northern Mexico, the weekly Davis Index for all grades remained unchanged at MXN4,900-5,727/mt delivered, depending on grade.
- The weekly Davis Index in Bajío also held at MXN4,350-5,350/mt depending on grade.
- Market participants with operations in the North and the Bajío region expect higher scrap prices as the September trade approaches and EAF mill are running at a 75-80pc utilization rate, creating more demand for scrap.
- A push back from mills is also expected considering that the price of finished HRC is currently below $500/nt.
- In Central Mexico, the Davis Index for all scrap grades held between MXN4,100-MXN5,100/mt. ($1=MXN22.39)
- Japanese ferrous scrap export prices continued to rise and amid steady deals for #2 HMS. In the Kanto region, suppliers raised offers by another JPY500/mt from the prior week. Supply remained tight and prices are likely to remain firm in sync with global cues. The index for #2 HMS rose by JPY375/mt from the prior week.
- The weekly index for shredded was unchanged. Trades for HS scrap were heard at JPY500/mt higher than a week ago.
- The Davis Index for #1 HMS rose by JPY250/mt from the prior week on Wednesday with a few trades for the grade during the week. In small bulk cargoes, the Davis Index for Japanese HMS 1&2 (50:50) rose by $2/mt from the prior Wednesday.
- Tokyo Steel raised its scrap purchase price by JPY500/mt ($4.7/mt) delivered to its Utsunomiya, Tahara, and Kyushu plants on Friday. This is the second hike in August. Bids for domestic scrap at the other two plants, Okayama and Takamatsu remain unchanged.
- Scrap trades in the domestic market are expected to remain slow amid maintenance activities scheduled by steelmakers. Obon festivities from Aug 13-16 are likely to impact trades.
- In seaborne markets, prices rose by $10-15/mt this week as buyers in Taiwan, Vietnam, South Korea, and Bangladesh preferred competitively priced Japanese scrap over material from other destinations. Other supplier countries like the UK or US have raised offers citing supply crunch.
- The monthly scrap export tender, Kanto Tetsugen, is scheduled to be announced on Aug 19. The results of the Kanto tender could dictate export prices for the rest of the month. ($1=JPY105.58)
- The Davis Index for containerized HMS 1&2 (80:20) rose by $4/mt from the week prior and $11/mt from July 29, on global cues and domestic scrap shortage. Mills booked containerized scrap in limited volumes.
- The index for US-origin shredded and machine shop turnings rose by $6/mt, with no trades heard. The weekly index for containerized #1 HMS rose by $4/mt. Active buying by Turkish mills lifted global scrap prices. Traders anticipate prices to rise further for September deliveries, especially in Asia. The index for US-origin HMS 1&2 (80:20) rose by around $5/mt on Tuesday from the week prior.
- South Korean domestic scrap prices were largely unchanged amid limited trades. Many buyers preferred the competitively priced imported material, mainly A3 scrap from Russia. Volumes varied based on price levels. Among seaborne trades, a deal for Russian A3 scrap was heard up by $6.5/mt from the week prior.
- A few mills in South Korea booked bulk cargoes from Japan. On Wednesday, a leading steelmaker placed bids for HS scrap, up by JPY800-1,000/mt from the prior week.
- In the domestic market, the weekly Davis Index for domestic Light A and Heavy A settled flat, delivered Pohang and Incheon mill. Limited trades for the grade were reported at the index price.
- In Taiwan, ferrous scrap offers were bullish this week supported by global cues. The daily Davis Index for containerized US-origin HMS 1&2 (80:20) rose by $3/mt from the previous week.
- Demand for finished steel continues to be under pressure due to which importers are booking limited volumes of scrap. Traders expect a further rise in offer prices amid increased buying in South East Asian countries.
- Taiwanese mills bought South American HMS 1&2 (80:20) in limited quantities. The weekly Davis index for containerized #1 busheling and P&S 5ft rose by $6/mt. The index for weekly shredded settled up by $4/mt from the previous week on higher offers but no trades were heard.
- Japanese small bulk cargoes of HMS 1&2 (50:50) were offered at $10/mt higher cfr Taiwan on Thursday. Market participants are trying to cope up with rising global prices but due to weak domestic demand, most buyers have reduced their purchase quantities. A shortage of domestic scrap in Japan is supporting higher prices.
- The Davis Index for domestic HMS 1&2 (80:20) in South and North Taiwan, Tuesday, settled flat. Yards kept offers unchanged from the previous week.
- Rebar and billet prices were flat this week in Taiwan, which also governed the price of domestic ferrous scrap. The steelmaker’s base offers for rebar and billets too were unchanged. Many mills canceled discounts on rebar to pass on the increase in input costs to end buyers.
- Buyers were unwilling to raise bids for containerized scrap and looked to procure small bulk. But the increase in Japanese scrap prices kept trades at bay.
- In China, Shagang Steel increased bids for domestic #2 HMS (6-10mm thickness). The weekly Davis Index for the grade rose by CNY45/mt on Wednesday. The mill kept its rebar prices unchanged from a week ago for mid-August shipments. ($1=CNY7)
- In the containers market, the weekly index for HMS1&2 (80:20) rose by $6/mt cfr. The weekly index for #1 busheling increased by $5/mt cfr, while the index for shredded rose by $2/mt cfr. Vietnam has had limited containerized ferrous scrap trades in the last four weeks due to a rise in COVID-19 infections. Rising offers have led buyers to focus on bulk bookings.
- In the bulk market, Vietnamese mills booked US-origin HMS1&2 (80:20). Some deals for HMS 1&2 (50:50) on cfr basis concluded this week. Shortage of domestic scrap and expected high demand for finished steel in September are driving the recent scrap bookings, said mill owners. For August, the demand scenario looks bleak on the back of increasing COVID-19 infections.
- Demand for HRCs in the export market, however, has been firm due to active purchases by Chinese buyers. Traders expect domestic scrap prices to be impacted if Formosa Ha Tinh hikes domestic finished steel prices for August deliveries.
- The weekly Davis Index for HMS 1&2 (80:20) rose by $4/mt cfr Jakarta as Indonesian importers bought ferrous scrap at prices higher than most Asian markets. Steel mills in Indonesia have ramped production amid increased demand from the infrastructure sector.
- The index for HMS 1&2(80:20) rose by $4/mt cfr Jakarta with trades at the index prices. In the containerized market, deals for busheling, P&S 5ft, and HMS 1&2 (80:20) were heard this week. The weekly indexes for #1 busheling and shredded rose by $7/mt and $4/mt cfr Jakarta, respectively.
- The index for P&S 5ft rose by $4/mt cfr. Few deals for Hong Kong-origin P&S 5ft were heard during the week. Market participants are expecting a further rise in offers due to increased buying from Turkey.
- The weekly Davis Index for domestic HMS 1&2 (80:20) inched up by THB200/mt delivered Rayong mill, inclusive of taxes. Domestic HMS 1&2 (80:20) traded at the index price. In the seaborne markets, US-origin containerized HMS 1&2 (80:20) sold well above domestic scrap prices. ($1=THB30.60)
- Prices for domestic HMS 1&2 (80:20) rose amid a rise in imported scrap and iron ore prices. The weekly indexes for the grade rose by MYR25/mt delivered western mills.
- Domestic ferrous scrap trades were limited. A shortage of domestic scrap is likely to drive prices upwards in mid-August. ($1=MYR4.24)
- In India, trades for imported ferrous scrap increased with buyers turning active for containerized HMS this week. Most steelmakers have ramped up production and a shortage of scrap spurred trades for imported scrap.
- Amid a spike in domestic steel prices by Rs1,500-2,000/mt in the last 10 days, most buyers were willing to raise their bids. This, despite slow end-user demand for finished steel and slow trades due to Janmashtami holiday mid-week. Billet exporters failed to receive bids above $405-410/mt fob India or $430-435/mt cfr China and thus market sentiment dampened in the latter part of the week.
- The index for containerized shredded rose by $4.06/mt from the prior week. A steelmaker in the southern region booked US-origin containerized shredded at $314/mt cfr Mundra this week.
- The Davis Index for UAE-origin containerized HMS 1&2 (80:20) cfr Nhava Sheva, rose by $8.25/mt from the prior week amid increased trades.
- A few trades for Brazilian and Australian-origin HMS 1&2 (80:20) cfr Mundra and Nhava Sheva, reported at up by $10/mt from the prior week. Higher dockside prices in the UK and European countries supported offers.
- South African sellers returned to the market this week after almost a month-long gap. With their government tightening the noose around ferrous scrap exports, most traders faced issues with permits. With these permits finally in place, the supply crunch in Indian markets is set to ease in the coming days, believe market participants. Trades for lowered grade scrap, Turning and LMS picked up. ($1=Rs74.92)
- Ferrous scrap prices opened bullish only to slow down by the weekend for the third successive week. Buying has slowed in Mumbai, while mills in Mandi Gobindgarh reduced their bids expecting prices to fall.
- The daily index for HMS 1&2 (80:20) in Mandi Gobindgarh fell by Rs100/mt ($1.33/mt) amid thin trades.
- The ferrous market took a breather on Friday as most buyers went into a wait-and-watch mode.
- On Thursday, the bi-weekly Davis Index for HMS 1&2 (80:20) rose from Tuesday by Rs500/mt ($6.6/mt) del Ludhiana mill.
- In Chennai, however, the bi-weekly index for HMS 1&2 (80:20) dropped by Rs100/mt del mill. Trades in the city have dipped as mills hold enough inventories for their present production requirements. ($1=Rs74.92)
- Imported scrap prices stayed bullish in Pakistan but trades slowed down this week compared to aggressive buying seen in the prior weeks. Major mills in Pakistan have returned to 100pc capacity utilization levels.
- The Davis Index for US-origin containerized shredded settled cfr Port Qasim up by $3.33/mt from the prior Friday. Offers on Friday were heard at $320/mt cfr Qasim but buyers showed little interest.
- On Friday, the Davis Index for HMS 1&2 (80:20) from UAE cfr Port Qasim moved up by $1.54/mt from Thursday and by $6.83/mt from a week ago. The index for US-origin HMS 1&2 (80:20) cfr Port Qasim rose by $1.90/mt from Thursday and $5.83/mt from a week ago.
- Brazilian suppliers sold aggressively to Pakistan this week. Traders offered LMS bundles at $10/mt higher than the prior week. The Davis Indexes for P&S and busheling rose by $6/mt cfr Port Qasim from the prior week.
- Buyers reduced purchase volumes for billet and rebar due to cash crunch. The weekly Davis Index for commercial Bala billet Friday settled ex-works Punjab down by PKR250/mt from the prior week. The weekly Davis Index for G-60 rebar ex-works Karachi rose by PKR500/mt amid rising input costs.
- Domestic ferrous scrap prices in Pakistan rose by PKR250-500/mt in line with higher imported scrap offers and depreciation of the Pakistani Rupee.
- Shipbreaker in Gadani paid $30/ldt higher than other subcontinental bidders to secure more tonnage. Shipbreaking yards that have returned to business after nearly two years are benefiting from government incentives for steelmakers and a shortage of rolling scrap, globally. ($1=PKR168.84)
- Bangladeshi steel mills continued buying imported scrap in containers but in very limited quantities. Most mills either have enough inventories or prefer to book low-priced domestic scrap from the shipbreaking market.
- In the bulk market, a couple of around 30,000mt cargoes of shredded grade equivalent were offered at $315/mt cfr Chattogram levels. However, inquiries slowed down this week, after booking almost three bulks in the prior week.
- The Davis Index for containerized shredded, Friday, rose by $7.18/mt from the prior week amid high offers despite slow trades. Most Dhaka-based mills were reluctant to book material at these levels and prefer to import sponge iron from India at $290/mt cfr Chattogram. Sponge iron prices rose by $5-10/mt from the prior week.
- The index for US-origin HMS 1&2 (80:20) Friday rose by $2.14/mt from Thursday and up by $5.20/mt from a week ago. A few containers of #1 HMS from South America and Brazil traded at prices $10/mt from the prior week cfr Chattogram. P&S 5ft from South America and Australia traded in limited volumes.
- Domestic steel prices rose in line with higher input costs. After more than a week’s break, ship recyclers in Bangladesh finally accepted higher offers for scrapped ships.
- The weekly indexes for domestic billet and rebar rose BDT500/mt from the prior Friday ex-works Chattogram. Trades have picked up as the impact of monsoon is expected to subside in the coming days. The demand from infrastructure projects like Padma bridge and few other government-funded projects is expected to aid steelmakers but steady demand is less likely to return before October.
- The Davis Index for HMS 1&2 (80:20) and shipbreaking scrap rose by BDT750/mt ex-yards Chattogram from the prior week. ($1=BDT85.19)
- The weekly Davis Index for CIS basic pig iron rose by $10/mt fob Black Sea on Friday amid strong demand from China.
- A Russian supplier sold 50,000mt of the material to an international trader at $375/mt cfr China for September shipment, while a Ukrainian exporter closed a deal for similar tonnage at $370/mt cfr last week.
- CIS sellers are bullish amid limited availability of pig iron and are targeting $380/mt cfr China now.
- The Turkish pig iron market became quiet this week. However, a sale at a higher price from last week was reported where an international trader sold CIS-origin material at $353/mt cfr to a small Turkish buyer.
- The weekly Davis Index for CIS pig iron in Italy increased by $9/mt on Friday amid higher offers.
- Considering new sales to China, CIS suppliers began targeting around $360/mt cfr Italy, but buyers are yet to announce their bids as negotiations slowed down after active pig iron bookings early in the month.
- The weekly Davis Index for basic pig iron (BPI) increased by $5/mt cfr New Orleans on Thursday as offer prices continued to rise despite US buyers being inactive and unwilling to pay current price points to other locations.
- The most recent bookings this week from the CIS are at $375/mt cfr China, which indicates an increase of $10-15/mt compared to last week’s deals.
- This price level would be comparable to $360-365/mt cfr Nola; however, US buyers are not showing interest to match that price so far. The most recent BPI sale to the US was priced at $330/mt cfr Nola in early July.
- The Davis Index for nodular pig iron (NPI) imports remained unchanged at $370/mt cfr Nola as offers for the material are limited without new bookings confirmed.
- The weekly Davis Index for US hot briquetted iron (HBI) imports increased by $2/mt cfr Nola. New offers or deals have not been reported for HBI as demand has been low, but if the grade were offered this week, the price would likely be near this level.
- The daily index for sponge iron in Mandi Gobindgarh dipped by Rs300/mt on expectations of easing iron ore supplies.
- Market participants believe sponge iron prices could lose steam in the coming days as iron ore supply has started to ease.
- On Thursday, the bi-weekly Davis Index for sponge iron rose from Tuesday by Rs350/mt del Ludhiana mill.
- In Chennai, the index for sponge iron rose by Rs150/mt. ($1=Rs74.96)
- The weekly Davis Index for rebar in Mumbai surged on Friday by Rs1,900/mt ($25.36/mt) amid healthy demand and a hike in billet prices. The Davis Index for billets in Mumbai rose by Rs2,300/mt ($30.7/mt) in line with the rise in imported scrap prices.
- In Raipur, the index for billet increased by Rs1,300/mt ($17.35/mt) from the previous week due to a rise in input costs as domestic prices of sponge and pig iron increased. The Davis Index for rebar surged by Rs1,900/mt ($25.36/mt) as trading volumes improved on easing of the second round of COVID-19 related restrictions.
- In Mandi Gobindgarh, the daily index for ingot rose by Rs 2,000/mt ($26.7/mt) from the previous Friday amid a rise in local scrap prices. The daily Davis Index for rebar increased by Rs1,600/mt ($21.63/mt) from the prior week.
- Shipbreaking scrap prices rose by Rs2,000-2,200/mt ($26.70-29.37/mt) through the week as demand for rolling scrap increased in North India. The weekly index for HMS attachments and Melting rose by Rs2,200/mt ex-Alang on Friday.
- Shipbreakers hiked offers through the week amid a shortage of material in the yards. The index for 8Ani Friday rose by Rs2,000/mt ($26.70/mt) from the prior week. The weekly index for 14Ani rose by Rs2,100/mt ($28.03/mt) ex-Alang on Friday. Demand for steel plates also saw an uptick this week, the index for 5kg plates rose by Rs2,200/mt (29.37/mt) from the prior week.
- Rolling scrap prices could lose steam as mills have stocked enough inventories and are expected to slow down bookings in the coming weeks.