Indian DRI, billet, rebar update - 8 Apr

• Buyers stay away after announcement of US-Iran ceasefire
  
  
• Sluggish trading activities noticed d-o-d across regions
  
  

India's induction furnace (IF) steel prices declined d-o-d across regions on 8 April.

Sponge iron prices dropped in the range of INR 200-600/t d-o-d, with the sharpest fall of INR 600/t seen in Ramgarh, where prices settled at INR 26,900/t.

Billet prices declined by INR 200-1,200/t d-o-d across locations, with the highest decrease of INR 1,200/t recorded in Raigarh and Ahmedabad locations, where prices reached INR 42,600/t and INR 48,500/t respectively.

Rebar (Fe 500) prices decreased by INR 100-1,100/t d-o-d. Prices dropped by INR 1,100/t in Ahmedabad to INR 54,200/t.

Following the announcement of a two-week ceasefire and the safe reopening of the Strait of Hormuz, commodity prices across several regions witnessed a decline. The spot market experienced mild panic selling across regions as noticed. Additionally, buyers stayed away, with lower trading volumes recorded today across all segments.

Finished steel manufacturers reduced working offers, given the decline in raw material costs. However, they are not under inventory pressure as of now, given strong bookings in the previous few days and reduced inventory pressure in finished steel. As per current scenario, prices are likely to remain volatile this week.

The conversion spread from sponge iron (PDRI) to billets for the standalone induction furnaces in the Raipur cluster was assessed at INR 15,900/t.

Click here for brand-wise rebar details

BigMint's price assessment (region-wise)