Indian domestic & imported market for hot rolled coil stayed
largely sluggish over the past week. Domestic demand remains subdued and the
Indian rupee continues to average more than Rs 55 against the dollar.
“There are no ups and downs in the (domestic) market. Overall sentiments remain
subdued,” said a Mumbai-based official with a leading producer. The market
would remain sluggish this month and buying activity will taper off starting
July with the onset of monsoons, he expected.
“Producers are having a hard time selling,” a Mumbai-based trader said. “There
is not much activity going on.”
Regarding imports, offers for Chinese-origin 3mm thick and above boron-added
SS400 commercial grade HRC continue to average at $630-640/MT CFR India,
including $35-40/MT freight i.e. at the levels largely unchanged from those
seen last week.
“It looks like there is still some chance of prices falling
more,” a Singapore-based trader said. “We haven't seen mills pulling back
offers from the market despite the low buying interest,” he reasoned. “But even
if prices fall, there is no support from the rupee,” the Mumbai-based trader
countered. “I am waiting for the rupee to come back to Rs 45-47 levels.”
Some sources also claimed to have heard of deals involving
Russian-origin 1.8mm thick SAE1006 re-rolling grade HRC being concluded at
$600/MT CFR India, including about $50/MT freight, but it was not confirmed.
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