Local Indian rebar prices have showed mixed trends in the past week, with prices inching up in major trading hubs but losing ground slightly in regional markets in a market lacking direction and amid near silent trade activity, with buyers remaining on sidelines expecting the downtrend to gain momentum, SteelOrbis learned from trade and industry circles on Tuesday, November 26.
Sources said that rebar trade prices are up a marginal INR 100/mt ($1mt) to INR 47,600/mt ($565/mt) ex-Mumbai but have lost INR 200/mt ($2/mt) to INR 46,300/mt ($549/mt) ex-Chennai in the south.
Rebar trade prices are down INR 100/mt ($1/mt) to INR 42,200/mt ($501/mt) ex-Raipur and have lost INR 300/mt ($3/mt) to INR 41,000/mt ($486/mt) ex-Durgapur in the east.
“The pace of the fall in prices eased during the past week. But we do not see much positive in it either, because trade volumes are almost negligible. Sellers across induction furnace operators and integrated mills are still reporting high inventories and are chasing the very few buyers present in the market. Hence, there are significant downside risks to prices going forward,” a Kolkata-based distributor said.
“With demand both in retail and large projects showing no uptick, sellers will be forced to bring down prices or increase trade discounts to keep sales ticking. Buyers will prefer to remain on the sidelines till they are sure of a price bottom,” he said.
$1 = INR 84.30