Week 16 concluded on bearish note as prices in domestic market dipped by INR 100-700/MT in a week. However, eastern Indian recovered by INR 100-200/MT in the duration.
Billet prices fell by INR 100-700/MT and sponge by INR 100-300/MT on account of sluggish demand and festive mood in domestic market.
On the other side, NINL increased Pig iron prices by INR 500/MT; other makers followed suit and increased offers by INR 200-600/MT across major markets.
Week 16 dynamics
1. Current 78-80 FeM sponge iron prices are prevailing in Durgapur at INR 12,050/MT (+50), Rourkela at INR 11,400/MT (+200), Raipur at INR 12,800/MT (-300) and Bellary at INR 12,100/MT (-250). Price change is weekly.
2. P-DRI prices hovered in the range of INR 11,050-13,000/MT in the market.
3. Billet price movements are INR 22,700/MT (+250) ex-Durgapur, INR 21,800/MT (+200) ex-Rourkela, INR 22,550/MT (-150) ex-Raipur, INR 24,450/MT (-100) ex-Mumbai and INR 25,000/MT (-500) ex-Hyderabad.
4. Indian pellet prices remain stable in major markets, except in south, where prices moved up amid rise in Karnataka e-auction prices.
5. Imported South African lump offers to India moved up due to rise in global iron ore prices. Offers were assessed at USD 68-70/MT, CFR Kandla for May’16 deliveries.
6. Odisha merchant miners kept iron ore prices unchanged.
7. Imported scrap offers boosted up by USD 20/MT to USD 270/MT, CFR India (Shredded scrap) due to bullish global sentiments.
Week 17 prospects
1. Semis offers may remain volatile by INR 200-500/MT in days to come. However, if rebar demand supports, semis offers may pick up sharply.
2. Albeit, Indian buyers are seeking imported scrap offers within USD 245-250/MT, prices are anticipated to move up as Turkey is showing active participation in buying
3. As per sources, Odisha based iron ore fines prices may come down by INR 100-150/MT in coming week.
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