Local Indian rebar trade prices have showed mixed trends with marginal changes amid lackluster conditions and with the market lacking any direction, SteelOrbis learned from trade and industry circles on Tuesday, January 23.
Indian rebar trade prices have gained INR 100/mt ($1.2/mt) to INR 48,700/mt ($586/mt) ex-Mumbai, but are down INR 200/mt ($2/mt) to INR 47,500/mt ($572/mt) ex-Chennai in the south.
Rebar trade prices have gained INR 100/mt ($1.2/mt) to INR 43,200/mt ($520/mt) ex-Raipur and are unchanged at INR 43,200/mt ($520/mt) ex-Durgapur in the east.
Several sources said that discounted sales have been reported from several regional markets in the west and north with sales being effected at INR 500/mt ($6/mt) lower than official trade prices, indicating continued pressures from inventory build-ups across trade channels.
“There is minimal movement in rebar prices largely because of the absence of buyers, particularly in retail sales to small and medium-scale users in the construction and real estate sectors,” a Kolkata-based distributor said.
“There are large variations across regional markets, indicating varied localized demand patterns. Negative macroeconomic indicators like rising inflation and the slowdown in industrial growth are leading to rising bearish sentiments among market participants. At the microeconomic level, the high cost of bank funds and the shortage of liquidity are preventing dealers from restocking or prevent the ability to offer extended credit terms to lure buyers,” he added.
$1 = INR 83.10