The daily Davis Index for UAE-origin HMS 1&2 (80:20), Wednesday, up to $464/mt cfr Nhava Sheva, marginally up $1/mt as supplier kept offers firm. Indian buyers preferred material from UAE over the US/UK-origins, but targeted $450/mt levels.
Secondary steelmakers in Mumbai walked away from high offers as rebar demand continues to remain subdued amid extended lockdown in Maharashtra and several other key industrial states. Mills in both Mumbai and Jalna are operating at 80-90pc, while the dispatch is close to around 50-60pc which indicates that finished steel inventories are rising at mills. Until rebar sales revive, scrap buying may remain low, traders said.
The index for cast iron rotors and drums of US-origin settled at $506/mt cfr Nhava Sheva; down $3/mt from a week ago.
Also, the upcoming monsoon season will limit rebar demand even if lockdowns are eased. Traditionally, construction activities slow down from June onwards.
The index for containerized shredded settled at $506.25/mt cfr Nhava Sheva, up $2.75/mt. The index for US-origin HMS 1&2 (80:20) up by $4.25/mt to $485/mt cfr Nhava Sheva.
The daily Davis Index for billet and rebar, Wednesday, remained flat at Rs42,200/mt and Rs48,200/mt ex-works Mumbai, respectively.
The Davis Index for containerized shredded, Wednesday, settled at $511.31/mt cfr Indian subcontinent, up $2.52/mt; while that for containerized US-origin HMS 1&2 (80:20) settled at $490.02/mt cfr Indian subcontinent, up $3.93/mt.