High inventory build-up at steel mills and low demand from end-use sectors continued to pressure semi-finished steel prices in India.
The daily Davis Index for rebar Thursday fell by Rs100/mt ($1.32/mt) and settled at Rs30,900/mt ($413.1/mt) ex-works Raipur. In central India, little buying activity from real-estate developers and construction projects pull down rebar prices. Traders expects sales volumes to improve only when sentiments improve.
The daily index for billet Thursday fell by Rs200/mt in Raipur and settled at Rs27,250/mt ex-works following a decrease in finished steel prices. Pellet sponge iron prices were at Rs15,700-15,800/mt ex-works Raipur, down by Rs200-300/mt.
In Mumbai, the daily Davis Index for billets also fell by Rs150/mt to Rs27,450/mt ex-works. Billet offers were at Rs27,500/mt and bid at Rs27,400/mt, but no deal closed. The daily Davis Index for rebar fell by Rs200/mt and settled at Rs31,500/mt (421.12/mt) ex-works Mumbai on weak demand.
In Mandi Gobindgarh, the daily index for ingot fell by Rs150/mt at Rs30,350/mt ex-works due to fell in local scrap prices.