As seen in previous years the pre-monsoon season usually witnesses a rise in demand for steel, however steel long participants are not noticing any major boom in sales this time around. Manufacturers expect fluctuations in prices will remain low due to limited constant buying and firm offers from manufacturers. Traders believe prices will correct by Rs 300-400/MT as discounts are being floated to book sales.
In North India, re-bar prices are up by Rs 400-600/MT over May'13 average price. Delhi 12MM is being offered at Rs 36000/MT against May average price of Rs 35200/MT. In Eastern India Durgapur 12MM prices are higher by Rs 700/MT over May average price. Similarly in Central India Raipur 12MM offers are up by Rs 500/MT.
Contrary to the general trend, South India market witnessed a fall in prices, to the extent of Rs 200-400/MT as Chennai 12MM prices are lower by Rs 200/MT and Bangalore by Rs 400/MT from May average price.
Maharashtra trade activities remained low due to the ongoing LBT strike. In a recent update FAM (Federation Association of Maharashrtra) that has initiated a strike across state, received support from Sharad Power party, leading malls, and retailers to abolish LBT as they continue with the Maharashtra Bandh.
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