Local Indian cold rolled coil (
CRC) prices have remained unchanged for the second consecutive week at INR 48,250/mt ($751/mt) ex-works amid low trading activity and the lack of any short-term price direction, traders said on Tuesday, April 25.
"The market has remained quiet during the past week. No one is sure of the short-term price direction, with steel mills keeping prices stable even though there are no signs of any change in the low demand situation," a Mumbai-based trader said.
"Also, the export market for large steel mills seems to be slowing down due to the strong exchange rate of the rupee against the US dollar and the decreases seen in Chinese
CRC export offer prices. Expectations of surplus supplies in the Indian market and the expected downturn in prices are prompting buyers to delay making fresh bookings," the trader added.
According to market sources, local
CRC prices are expected to move sideways in the short term. The sources rule out any sharp downturn in prices in view of import restrictions imposed by the government but the lack of any demand improvement will also limit any upside potential.
$1 = INR 64.23