Indian DRI, billet, rebar update - 5 Feb

• Prices show mixed trends d-o-d amid need-based buying
  
  
• Buyers stay away, having booked ample material in last 1-2 days
  
  

India's induction furnace (IF) steel prices showed mixed trends d-o-d on 5 February amid subdued steel sales.

Sponge iron offers fluctuated in the range of INR 50-300/t d-o-d, with the sharpest drop of INR 100/t in Durgapur where prices settled at INR 26,200/t and the major rise in Hyderabad and Jharsuguda by INR 300/t to INR 27,200/t and INR 25,600/t.

Billet prices fluctuated by INR 50-500/t d-o-d across locations, with the steepest increase of INR 500/t in Chennai, where prices settled at INR 44,500/t. The sharpest drop of INR 300/t occurred in Raigarh, where prices closed the day at INR 40,700/t.

Rebar (Fe 500) prices varied by INR 200-500/t d-o-d. Prices dropped by INR 200/t in Raipur and Mandi to INR 44,500/t and INR 49,600/t, respectively. Meanwhile, the steepest hike of INR 500/t was recorded in Chennai and Hyderabad, with prices at INR 48,500/t and INR 47,500/t, respectively.

Lower trading volumes were recorded today across all segments. Buying activity remained largely need-based at higher prices, as most buyers had already procured material over the past 1-2 days. As per the current market scenario, prices are expected to remain hover at similar levels during the rest of the week.

The conversion spread from sponge iron (PDRI) to billets for the standalone induction furnaces in the Raipur cluster was assessed at INR 14,300/t.

Click here for brand-wise rebar details

BigMint's price assessment (region-wise)