Indian semis market showed asymmetric price movement in week 36. MS ingot/billet prices across major markets declined upto INR 100-500/MT. While, sponge iron prices remained almost stable with minor price fluctuations of INR 100-200/MT in major regions.
Demand from end-users was somewhat decreased compared to previous week.
Week 36 Highlights
1. Sponge iron price movement across major markets were Durgapur at INR 15,600/MT (78 FeM; -100), Rourkela at INR 14,600/MT (78 FeM; +200), Raipur at INR 16,050/MT (80 FeM; -200), Bellary INR 14,300/MT (78 FeM; 0) and Hyderabad INR 15,800/MT (82+ FeM; 0).
2. P-DRI prices hovered in the range of INR 13,400-14,500/MT across major markets.
3. Billet prices were assessed in Durgapur at INR 24,200/MT (+ 200), Rourkela INR 23,300/MT (+ 200), Raipur INR 23,600/MT (- 100), Mumbai INR 25,400/MT (- 500), Chennai INR 23,800/MT (0) and Hyderabad INR 25,000/MT (0).
4. Imported scrap prices declined by USD 2-5/MT owing to Euro depreciation.
5. As per sources, two major iron ore miners namely KJS Ahluwalia and Kaypee Enterprises reduced iron ore prices this week due to high inventory. While, iron pellet prices remained stable.
Week 37 Outlook
1. Semi finish makers likely to be under pressure to reduce offers owing to sluggish demand.
2. Imported scrap offers are expected to decline amidst Euro depreciation and increased availability of iron ore in market.
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