Monday, October 25,Hyderabad
SteelMint Exclusive
TMT (Re-bar) prices gained Rs 500-700/MT at the end of the day in Hyderabad. Demand has been sluggish for quite a few days and prices fell by upto Rs 1,000/MT in last week. Prices gained momentum on Monday evening after some buying was noticed from Maharashtra.
Demand seems to be picking up from traders as they are speculating markets to go up in near term post Diwali holidays. Basic price of 12mm Re bar reached Rs 27,000/MT after it was being offered at Rs 26,300/MT in the morning.”We have booked material from Hyderabad at Rs 26,000/MT and keen to book some more quantity at Rs 26,500/MT” said a trader based in Maharashtra. According to him, Hyderabad is favourable compared to Raipur as it is more cost effective for traders based in Maharastra.
But it will be too early to say that real demand has started picking up. The demand may seem to be coming from traders as expectations of price rise after Diwali are intact.
According to manufacturers real demand is still missing from the market and untill and unless demand generates from infrastructure sector, it will be unfair to say we have crossed bad days.
Industry experts say LME billet is gaining momentum, International billet prices are going up and some buying interest for scrap seen from Turkish mills. Imported scrap for India might get expensive once Turkish mills start buying in full swing.
However, demand in Raipur remains unfavorable also as for the last four days, roads around Jabalpur were disturb because of a fly-over crash down claims traders.
(Reported by Meghna Verma, meghna@steelmint.com)
Leave a Reply