Indian export offers for hot dip galvanized (HDG) coils have showed little change during the past week, remaining at around $870/mt CFR US, as exporters have been cautious against the backdrop of fluctuations of the Indian currency against the US dollar, traders said on Friday, April 11.
According to a Mumbai-based trader, transaction activity during the week has remained modest as exporters have been uncertain over the movement of the Indian rupee against the dollar.
The trader said that, having marginally increased offers at the beginning of the month, transactions volumes have been hit by resistance from buyers, but with the Indian currency appreciating exporters have not been in a position to adjust prices without a negative impact on their earnings in rupee terms.
The Indian currency, which has been appreciating since last month, gained INR 0.07 against the dollar on Thursday, April 10, but slipped by INR 0.27 to INR 60.34 to a dollar in early trades on Friday.
Market sources said that, with the Indian currency moving in either direction, Indian HDG exports offers will likely move sideways.