Indian domestic ferrous scrap prices fell on Tuesday amid scarce demand for finished steel. Steel mills were keen on exhausting available finished steel inventories before ramping up production.
In Ludhiana and Delhi, the bi-weekly index for HMS 1&2 (80:20) fell by Rs1,150/mt ($15.25/mt) to Rs19,150/mt and Rs22,250/mt del mills, respectively. Manufactures refrained from buying raw materials as containers of scrap are still lying at the ports. The index for sponge iron declined by Rs1,200/mt to Rs19,750/mt del Delhi and it fell by Rs1,375/mt to Rs18,375/mt del Ludhiana.
In Mandi Gobindgarh, the daily Davis Index for HMS 1&2 (80:20) remained unchanged on Tuesday to Rs19,000/mt del mill as trading thinned. The daily Davis Index for sponge iron settled unchanged at Rs18,575 del mill.
Markets in Jalna had partially resumed operations but might shut due to surge in active COVID-19 cases. The index for HMS 1&2 (80:20) rose by Rs50/mt to Rs22,000/mt del Jalna and trades were heard at the index price.
In Chennai, the index for HMS 1&2 (80:20) fell by Rs1,150/mt to Rs19,850/mt del mill and the index for machine shop turnings settled at Rs18,500/mt, down by Rs1,150/mt, as trades were heard at the index price.
In Mumbai, the daily Davis Index for HMS 1&2 (80:20) settled flat at Rs21,275/mt del mill and the index for sponge iron remained unchanged at Rs17,700/mt del mills.
Market participants adopted a wait-and-watch approach pinning their hopes on the Indian Prime Minister’s address to the nation scheduled at 8 pm Tuesday. He is expected to speak on the existing lockdown and his strategies for the revival of the economy.