Offers for imported 304 (18-8) solids to India heard at $2,100/mt cfr India port levels while bids heard below $2,020/mt levels. The weekly Davis Index for the grade settled $82/mt higher at $2,069/mt cfr India port on Tuesday. Some mills are resisting the high offers but on the other hand, demand remains strong.
In India, prices of 304 solids have maintained an uptrend through the past four weeks. The grade is up by 75pc from the end of July last year driven by a sharp rise in nickel prices on the back of a strong demand forecast from the electric vehicle sector. The official LME nickel in a year gained 45pc or $6,016/mt to trade at $19,481/mt on July 26.
The weekly Davis Index for 316 solids settled at $2,929/mt cfr India port, up by $54/mt driven by higher offers in the range of $3,000/mt. Some deals concluded at $2,850/mt. The official three-month LME nickel contract also rose by $596/mt during the week which was one of the reasons for the rise in scrap prices.
The Davis Index for Zurik 85/3, Tuesday, settled at $1,645/mt cfr India port, up $20/mt from a week prior driven by short supply and a slight increase in demand from Indian consumers. The Davis Index for 430 solids settled at $769/mt cfr India port, up $32/mt. Bids heard at around $730-740/mt, while offers firm at $790-$800/mt levels.
Although scrap demand is high and the stainless steel market has started to improve, mills resisted high scrap prices reducing trades on Tuesday. Market participants believe that Indian import prices will rise in the coming weeks.
The Davis Index for 304 (18-8) solids, Tuesday, settled at $1,713/mt cfr Taiwan port, down $72/mt from the week prior pushed by lower bids and subdued demand from mills. The steep rise in the previous week was resisted by buyers leading to fewer trades this week. Mills lowered bids and pressured the indexes. Freights to Taiwan have also decreased slightly, noted traders. The Davis Index for 316 solids settled at $2,367/mt cfr Taiwan port, down $278/mt from a week ago as market resisted last week’s uptick in prices.