Private power utility CESC has raised its tariff by 15 paise
CESC Executive Director, Mr Utpal Bhattacharya, said the
hike in tariff would be applicable to all categories of consumers from the
billing month of May.
On an average, a domestic consumer uses roughly 200 units of
electricity each month. Under the new tariff, the hike would therefore amount
to Rs 30 on an average. At present, the average power tariff under different
slabs is approximately Rs 5.90.`
Officials said the hike has been calculated using a Monthly
Variable Cost Adjustment (MVCA) formula on account of hike in fuel prices,
freight and excise duty revision on power purchase.
Source: The Business Line
Spot iron ore fines market in China remained steady at $138/t CFR. Chinese Steel prices improved as buyers are optimistic on new stimulus policies by the government. Steel prices pick up by 10-30 RMB in China.
A Brazilian miner sold two cargoes (lump and fines) via open tender and one fines shipment across CBMX. An Australian miner sold one high grade cargo and two low grade fines.
Indian cargo of 58% offered at $118/t from East coast port of India, though deal has not been heard concluded. 57% Fe heard to be concluded at $112/t CFR. Indian exporters anticipate prices to rise further in near term as supply will be more critical during monsoons , which will start from mid June.
Indian exporters offer mill scale (waste from rolling mills) which is equivalent to high grade iron fines (68-70%) at $141-142/t CFR, where as 63.5/63 fines are trading in the range of $138/t.
The rupee on Thursday tumbled by 26 paise to trade at a new all-time low of Rs 56.50 against the US dollar in early trade on increased capital outflows and strong demand from importers for the American currency.
Traders said apart from capital outflows by foreign funds, strengthening of dollar against the euro, which plunged to a two-year low on continued euro-zone worries and strong month-end demand from importers, particularly oil refiners, mainly put pressure on the rupee.
Yesterday, the rupee had lost 57 paise to close at record low of 56.24 despite RBI's efforts to prop it up.
Indian Re-bar prices have corrected almost 2-3 % in last one month on poor demand from construction sector. Also economic crisis in Europe had kept sentiments down.
Industry sources report SteelMint that,Indian primary steel producers unlikely to hike long product prices for June delivery as demand is still not encouraging and also government projects are running late.With monsoon approaching in mid June construction activities will further slow down.
A senior executive from a Primary Manufacturer Shared his views on the Finish (Long) Steel market with us. He said, “Prices are expected to be range-bound, with mostly local factors like power, labor, etc. having an impact on the pricing mechanism.” He further added that the steel sector is being pulled from both the sides. Manufacturing costs have increased whereas infrastructure projects have also not really taken off.
Mr C.S. Verma, Chairman SAIL had also noted few days back, that steel prices will remain stable and are unlikely to be hiked. Good thing is that coal prices had softened in International market.
China steel futures steadied on Thursday, but posted their steepest monthly fall in eight months in May after spot iron ore prices recorded the worst month since October 2011.
The most-traded rebar contract for October delivery on the Shanghai Futures Exchange closed nearly flat at 4,103 yuan ($650)/MT. On a continuous basis, the contract fell more than 4% in May, the most since September.
But this week's gains in steel prices, both spot and futures, have raised hopes that iron ore prices may rise further as Chinese mills rebuild stockpiles after staying out of the market in recent weeks.
“While the Chinese steel market has seen prices rallying over the past few days on Beijing's promises of stimulus, we do not see a fundamental turn in pricing in China as production is likely to continue to outpace demand,” Steel Market Intelligence said in a note.
“We believe that Chinese steelmakers are unlikely to make meaningful production cuts with weaker raw material prices, reluctance to layoff trained workers, and 'hope' that Beijing will create demand.”
Re-bar prices fell at few mandis' and trading activities remained dull owing to the 'Bharat Bandh'.
12 mm in Raipur traded at Rs 37,100/MT i.e. down by Rs 300/MT
as off-take of the commodity remained low.
Similarly prices in Hyderabad also went down by Rs 500/MT
due to weak demand and 12 mm traded at Rs 37,000/MT.
According to market players, “Demand at the month-end is
mostly need-based and everyone is waiting to get some direction. Traders hope
to see a upside in the month of June. But only time can determine the actual
course of the market.”
Indian sponge prices trade in the same range.Trading volumes have been good as buyers anticipate further shortage of imported scrap.With monsoons approaching Indian coasts, sponge production will be low and buyers are not hesitant to take positions.
1. Sponge prices at Raipur hovering at Rs 23,300/t (Basic), where as Raigarh offered at Rs 22,800/t (Basic) and Rourkela at Rs 21,700/t (Basic).
2. Sponge prices in Karnataka loose some shine amid power crisis in southern part on India. Prices are hovering in the range of Rs 20,800-21,200/t (Basic).
Chinese hot rolled
coil (HRC) exporters have arrived at the crossroad as export prices have approached the previous low of $600/MT.
Steelmakers have cut their HRC export prices again this week
in response to fewer transactions. Export prices for commercial-grade
boron-containing HRC are now at about $605-615/MT FOB i.e. down from $620/MT
FOB a week ago.
Traders are expecting prices to fall further while
steelmakers are hoping for price to remain firm.
Punjab: Prices remained steady in the range of Rs 35,600/t (Basic) at Mandi Gobindgarh, down side is limited as availability of scrap is very scarce.
“There is huge shortage of scrap in domestic market, with lesser imports over weak rupee, manufacturers are shifting to sponge and domestic scrap”. said an induction furnace owner in Punjab.
Raipur/Raigarh: Prices remained stable on limited trades, sellers are unwilling to cut offers looking at higher cost of production. Raipur is heard to be trading at Rs 32,400-500/t (Basic), where as Raigarh remain firm at Rs 32300-400/t (Basic).
Hyderabad: Demand is poor, sellers are quoting in range of Rs 33,000-500 (Basic) but trades are happening at Rs 33,000/t (Basic). Sponge prices are high.” said a manufacturer.
Continuing fall for the third day in a row, the rupee today again fell past the psychological level of Rs 56 against the US dollar in early trade on heavy demand for the American currency from importers amid concerns over euro zone worries.
Dealers said besides strong month-end demand from importers, particularly oil refiners, the euro's weakness against the American currency on persistent euro zone worries, kept pressure on the Indian currency.
“USD/INR made a definite move-up once the last technical retracement level of 56.05 was breached. However, today's upmove is in line with the euro's fall and I don't expect the RBI to come in at these levels,” said a senior trader with a private bank.
At 10:27 a.m., the partially convertible rupee was at 56.09/11 per dollar, weaker than its 55.67/68 close on Tuesday.
Traders cited strong dollar demand from oil importers looking to meet their commitments at the end of the month.