Indian hot rolled coil (HRC) selling figures were steady in May, month-on-month, according to MEPS. However, end-users were still only purchasing for immediate requirements.
Indian customers have preferred to delay bookings, for commodity plate, in anticipation of further price concessions from both domestic and foreign suppliers. Meanwhile, coated coil transaction values held firm despite subdued market confidence.
Negative price expectations have gain momentum in the wire rod market. Distributors operating in Durgapur, Mumbai and Raipur claim that the downward pressure is the result of the availability of foreign products.
Purchasing activity for rebar has begun to soften. End-users are hesitating about placing orders, whereas the steelmakers are keen to close deals.
Merchant bar stockists continue to be hesitant about placing orders. This is due to tight credit conditions, low end-user demand and expectations of further price cuts.
Zhejiang Yaang Pipe Industry Co., Limited (www.yaang.com)