- Subdued trading activity noticed in market
- Market expected to drop further in coming days
India’s induction furnace (IF) steel prices witnessed lowered the prices d-o-d across markets amid weakened sales on 27 February.
Sponge iron offers decreased in the range of INR 100-450/t d-o-d, with the sharpest fell of INR 450/t in Raigarh, where prices settled at INR 25,250/t.
Billet prices dropped by INR 50-500/t d-o-d across locations, with the steepest decrease of INR 500/t occurring in Chennai and Hyderabad regions to INR 43,000/t and INR 41,000/t respectively.
Rebar (Fe 500) prices varied by INR 100-300/t d-o-d. Prices decreased by INR 300/t in Hyderabad to INR 47,000/t.
Today, trading activity remain sluggish across regions. Overall market momentum continued to subdued, particularly in finished and semi-finished steel as buyers focused on need-based purchases at prevailing prices.
Manufacturers continued to face sales pressure, prompting them to either lower their offers or increase trade discounts to stimulate demand.
As per current scenario, market participants anticipated further price correction due to poor offtake of material, rising inventory pressure and liquidity issue in the market as well. Such factors drag down the prices in the spot market.
The conversion spread from sponge iron (PDRI) to billets for the standalone induction furnaces in the Raipur cluster was assessed at INR 13,950/t.
Click here for brand-wise rebar details
BigMint’s price assessment (region-wise)
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