After two
successive weeks of decline, hot rolled coil prices (HRC) increased by ₹500 a
tonne to ₹59,700 on high coking coal cost and robust global steel prices.
Spot spread (difference between spot and contract prices),
however, continues to languish at an eleven-month low level. Going ahead,
traders expect a price hike of ₹1,000-1,500 a tonne for
March owing to favourable import parity and much-improved export realisation.
Primary rebar prices continue to stay at a premium to HRC.
In China, HRC appears to be on a stronger footing with declining
inventory amid expectations of favourable policies, said Amit Dixit, Research
Analyst, ICICI Securities.
Besides, he said market participants expect steel prices to remain
supported owing to the cost push and recovery in China demand.