The daily Davis Index for HMS 1&2 (80:20) on Wednesday rose by Rs1,000/mt ($13.71/mt) to Rs27,000/mt ($370.28/mt) del Mumbai mill after demand for finished steel picked-up on Monday. However, demand continues to outpace supply. The index for Sponge iron fell by Rs225/mt to Rs24,700/mt del mill. The manufacturers expect the demand to sustain in the near future.
In Mandi Gobindagarh, the daily Davis Index for HMS 1&2 (80:20) rose by Rs700/mt to Rs25,550/mt del mill amid a temporary uptick in demand.. However, a few mills are uncertain if the prices will sustain amid declining imported scrap prices. The price for HMS1&2 (80:20) US-origin cfr Turkey fell by $25.2/mt on Tuesday.
On Wednesday, offers for Sponge iron were at Rs25,400/mt del mill, but limited deals were reported. Manufacturers indicated bearish market sentiment.