Daily crude steel output at CISA key mills rose 0.7% in late-Oct

The domestic steel market strengthened WoW, with key steel and scrap prices rising, supported mainly by higher raw material costs. Despite the weekly gains, market activity was slower at the start of this week due to the Ganesh Chaturthi festival with some buyers and market participants remaining inactive. Toward the end of the week, price momentum eased, with most prices flat to slightly lower. Mandi billet rose by 11.47USD/tonne (1,100INR/tonne) week on week to 500.56USD/tonne (48,000INR/tonne) delivered Mandi. In Mandi Gobindgarh, HMS 1&2 (80:20) rose by 9.38USD/tonne (900INR/tonne) to 408.79USD/tonne (39,200INR/tonne) delivered Mandi. Rebar prices increased by 14.60USD/tonne (1,400INR/tonne) to 532.94USD/tonne (51,100INR/tonne) EXW Raipur. PDRI sponge iron prices unchanged at 307.66USD/tonne (29,500INR/tonne) EXW Raipur Alang Melting up by 5.21USD/tonne (500INR/tonne) to 398.39USD/tonne (38,200INR/tonne) ex-yard Alang. Steel prices may remain firm in the coming week amid higher raw material costs.

[India Domestic] India’s domestic steel market remained largely stable with some prices edging lower while finished steel prices were mostly unchanged. Buying remained cautious keeping near-term demand subdued, while supply remained adequate. Mandi HMS 1&2 (80:20) down by 2.08USD/tonne (200INR/tonne) to 388.18USD/tonne (37,200INR/tonne) delivered Mandi. Rebar prices up by 3.13USD/tonne (300INR/tonne) to 546.80USD/tonne (52,400INR/tonne) EXW Mumbai. While Raipur rebar unchanged at 533.20USD/tonne (51,100INR/tonne) EXW Raipur. PDRI sponge iron flat at 307USD/tonne (29,500INR/tonne) EXW Raipur for the third consecutive day. Bellary PDRI sponge iron prices edged down with buyers bidding around 319.29-320.33USD/tonne (30,600–30,700INR/tonne). Some deals were concluded at these levels, while sellers with good order books were unwilling to reduce their offers below 323.46USD/tonne (31,000INR/tonne). A few sellers were offering as high as 326.59-328.68USD/tonne (31,300–31,500INR/tonne), according to sources.

[India Export] Firm domestic HRC prices in Europe and the onset of the region’s peak-demand season kept Indian sellers bullish. Indian HRC export offers were no lower than 640USD/tonne FOB India, with some exporters targeting as high as 660USD/tonne FOB. Levels for North Europe were heard at around 730USD/tonne CFR. However, no fresh transactions were confirmed as importers and exporters continued to await clarity on the quotas. Still, Indian sellers remained unwilling to lower their offers, also citing firm domestic prices. Domestic HRC was last heard at around 668USD/tonne (64,000INR/tonne) ex-yard Mumbai and 626–632USD/tonne (60,000–60,500INR/tonne) EXW, excluding GST. Billet export indications remained around 470USD/tonne FOB India, although no fresh billet transactions were confirmed. In the raw-material market, US-origin HMS 1&2 (80:20) was indicated at 370–380USD/tonne CFR India, while UK-origin material stood at 375–390USD/tonne CFR. US-origin shredded was at 410–415USD/tonne CFR, while UK-origin shredded stood at 400–415USD/tonne CFR. Indian import buying remained cautious amid festival-season disruptions and changes to PSIC procedures.