Imported ferrous scrap prices in India rose following global cues. Demand improved, but deals were still few amid domestic uncertainty. Strengthening bulk prices in Turkey is likely to support higher offers in the near term.
The daily Davis Index for containerized shredded, Thursday, rose by $4.32/mt to settle at $520.57/mt cfr Nhava Sheva. Offers scaled up to $525/mt cfr Nhava Sheva following resumption of trades by alloy makers. Few trades for containerised shredded reported at $520/mt cfr Nhava Sheva. Active inquiries and few trades in Pakistan resulted in the non-availability of shredded at lower prices even to Indian buyers.
Fuelled by high domestic realization in the US, the daily Davis Index for US-origin HMS 1&2 (80:20) settled at $491.25/mt cfr Nhava Sheva, up by $1.25/mt Thursday. Deals, however, were limited for the US and UK-origin HMS as most preferred to buy UAE-origin material.
On Thursday, melting scrap offers in Alang increased by over Rs200/mt to Rs37,000/mt ex-yards, eased supply of oxygen for industrial use and relaxations in COVID-19 restrictions boosted restocking activities.
In Chennai, #1 HMS from the UAE continued to trade at $500-505/mt cfr. The daily index for UAE-origin HMS 1&2 (80:20) rose by $2/mt to $483/mt cfr Nhava Sheva. Trades for #1 HMS above $490/mt cfr Nhava Sheva on Thursday.
In China, steel futures continued to upward movement on Thursday, pushing prices marginally up in the spot market. Domestic billet prices climbed up by CNY20/mt to CNY4,980/mt ex-Tangshan. Global iron ore prices stayed firm amid tight supply from the Brazilian mills. Prices for ferrous 62pc above $212/mt cfr China on Thursday.
Indian mills resumed billet export offers with expectations that jumped above $650/mt fob India. Billet export offers were stable $695/mt cfr Manila in Asia.
Subcontinent
The Davis Index for containerized shredded, Thursday, settled at $524.13/mt cfr Indian subcontinent, up by $4.06/mt; while that for containerized US-origin HMS 1&2 (80:20) settled at $496.86/mt cfr Indian subcontinent, up by $1.91/mt.
($1=Rs72.96)