Falling inventories of ferrous scrap with mills and tightened supply giving imported prices a further lift this week.
Finished steel prices in the country, however, remained mixed.
The Davis Index for US-origin containerized shredded settled at $289/mt cfr Qasim on Friday, unchanged from Thursday but rose by $5/mt from the prior Friday. A few trades for UK-origin shredded were at $290-293/mt cfr Qasim with most mills interested in $285-287/mt cfr Qasim levels.
A few European yards sold shredded at $285-288/mt cfr Qasim in containers.
The Davis Index for HMS 1&2 (80:20) from UAE settled at $278/mt cfr Qasim, up by $3/mt from Thursday and by $15/mt from a week ago. UAE-origin super scrap or a mix of #1 HMS and P&S traded at $280-290/mt cfr Qasim depending on the quality.
The daily index for US-origin HMS 1&2 (80:20) was at $266/mt cfr Qasim, up by $3/mt from Thursday and $8/mt from a week ago with trades in the range $265-267/mt cfr Qasim. A few US yards kept offers at $270/mt cfr Qasim for HMS 1&2 (80:20). The weekly Davis Index for UK/Europe-origin HMS 1&2 (80:20) settled at $265/mt cfr Qasim, up by $10/mt. Trades were reported at the index price even though offers from European yards were at $265-270/mt cfr Port Qasim.
The index for Latin American HMS 1&2 (80:20) settled at $270/mt cfr Qasim, up by $15/mt from the prior week and trades concluded at the index price.
The Davis Index for P&S and busheling settled at $292/mt and $303/mt cfr Port Qasim, up by $9/mt and $8/mt, respectively, from the prior week.
Finished steel and domestic scrap
Domestic steel prices in Pakistan dropped early in the week due to weak demand recovered later to earlier levels driven by increased imported scrap prices.
The weekly Davis Index for commercial Bala billet settled at PKR93,500/mt ($558/mt) ex-works Punjab on Friday, inclusive of local taxes, up by PKR250/mt from the prior week. Trades were in the range of PKR93,000-93,500/mt ex-works till mid-week after which prices fell to PKR92,000/mt ex-works due to oversupply. The Davis Index for G-60 billet settled at PKR97,00/mt ex-Punjab plant, unchanged from the prior week.
The Davis Index for G-60 rebar settled at PKR113,500/mt ($677.83/mt) ex-plant Karachi, unchanged from a week ago. Rebar trades concluded at PKR113,000-114,000/mt ex-plant Karachi. Demand for rebar was higher in the Northern region than South Pakistan this week.
In Punjab, a glut of G-60 rebar led to a fall in prices to PKR111,000-112,000/mt ex-plant.
Domestic ferrous scrap prices in Pakistan increased following imported scrap prices. The weekly index for Art Pure Q equivalent to shredded settled at PKR71,000/mt ex-yards. Trades for domestic mixed (HMS and P&S) scrap were at PKR71,500-72,000/mt delivered mill Lahore on Friday.