Spot steel trades in finished steel products have resumed in few locations following govt direction to re-start construction activities with precautions in order to avoid spread of COVID-19.
Thus, the re-rollers & integrated steel plants in major markets have started floating their offers, in order to clear their inventories. Also it is learned that few manufacturers have re-started operations on account of active demand from projects.
Rupee & BSE Sensex
— On 24th Apr’20 (Friday) INR to USD exchange rate stood at INR 76.24
— BSE Sensex closed at 31,327 (-536) on Friday, 24th Apr’20.
— NSE Nifty50 index was closed today at 9154 (-159).
Indian secondary steel market update –
Raipur: Rebar offers floated by mills are at INR 31,400-500/MT EXW, however limited deals were reported at INR 31,100-200/MT EXW and lowest range reported at INR 30,700-800/MT from particular mill, EXW.
Meanwhile, Wire rod offers quoted at INR 30,000/MT EXW, while few deals reported at near to INR 29,300-29,500/MT EXW.
Billet deals reported at INR 25,800/MT FoR Raipur from Raigarh on advance payment. While, local mills in Raipur offered Billet at INR 26,200-400/MT EXW on next day payment.
Durgapur: The Rebar offers by Kharagpur based plant learned at INR 30,000-30,200/MT, whereas Wire rod trades assessed at INR 29,700-29,800/MT EXW. In context to Billet, offers reported at INR 25,800-26,000/MT.
Mandi Gobindgarh: The market totally closed and no deals reported for Ingot & Billet and even most of the Rebar manufacturers didn’t open their offering price.
Ghaziabad: The market closed and no deals reported for Ingot, Billet & Rebar followed by halt in operation activities at many places and are awaiting post lockdown notice until May 3rd.
Only a few furnaces are operational in integrated plants, so as to keep a stock of their produced semi-finished (Ingot/Billet) for own consumption to produce Rebars as soon as any relaxation is to be seen post lockdown.
Rourkela: Major Odisha based mills have responded to the national lockdown and only few mills are running with a production cut of around 60-70%. The performance of the domestic market seems to be adversely affected over inventory build & liquidity issues.
The Sponge C-DRI & Billet offers in Rourkela reported at around INR 16,000/MT & INR 25,300-500/MT EXW. However very limited deals were reported in the offered price range on intrastate level.
Hyderabad: No major trades reported as lockdown extended locally till 7th May. Furthermore, traders reported few Government projects rebar deals at around INR 29,000/MT EXW. However in the local market, traders are offering Rebar at INR 31,000/MT EXW.
Chennai: The market still closed due to complete lock down and industrial area notified under red zone.
Mumbai/Jalna: Sources reported no deals as the market is closed along with less loading of material.
Ahmedabad: Few integrated plants are offering Billet at INR 28,500/MT, while in terms of Rebar, limited trade and dispatch activity have been reported. The current trade reference price of Rebar in the range of INR 33,400-33,900/MT; FoR basis.
Note: The prices mentioned above for Rebar at 12-25mm, Wire rod at 5.5mm & Billet of 100*100mm.
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