Indian DRI, billet, rebar update - 16 Feb

• Cautious buying limits trading momentum
  
  
• Market expected to remain slow this week
  
  

India's induction furnace (IF) steel market recorded a fall in prices across products due to low demand on 16 February.

Sponge iron offers decreased in the range of INR 50-250/t d-o-d, with the sharpest fall of INR 250/t heard in Ramgarh, where prices settled at INR 25,750/t.

Billet prices declined by INR 100-400/t d-o-d across locations, with the steepest drop of INR 400/t occurring in Mandi and Raipur markets by INR 400/t to INR 44,500/t and INR 41,300/t respectively.

Rebar (Fe 500) prices fell by INR 100-500/t d-o-d. Prices decreased by INR 500/t in Jalna and Hyderabad regions to INR 48,800/t and INR 48,500/t respectively.

Prices softened across major markets on sluggish trading activity over the past week, as buyers grew cautious at current price levels, preferring to stay away from aggressive procurement.

Sellers either reduced their offers or increased discounts, depending on prior booking orders and payment terms. In view of the current scenario, we expect market to remain slow this week.

The conversion spread from sponge iron (PDRI) to billets for the standalone induction furnaces in the Raipur cluster was assessed at INR 13,800/t.

Click here for brand-wise rebar details

BigMint's price assessment (region-wise)