Another poor showing from the Indian market this week left a number of high priced deals in jeopardy and cash buver nerves once again frayed and confidence shattered.
The Indian rupee has been trading in excess of 55 to the dollar once again in echoes of the fourth quarter of last vear when so much money was lost. Added to the overall doom and gloom was the fact that scrap steel prices have lost as much as USD 25/LT LDT in total as well (despite some midweek gains).
Still, deals were concluded anew and the high priced inventorv continued to arrive. Eager Pakistan buvers and a rejuvenated Bangladesh market helped to absorb / divert some of the excess to some extent.
China though was once again market of the moment and prices there were approaching what the Indian market is capable of paving. Several market sales at impressive numbers (from local Chinese owners direct to yards on the most part) were evident of a hungry and bullish sentiment.
As a result, it is expected that the momentum could once again shift back East after a strong recent showing from both India and Pakistan. With several months of huge supplv still to digest in India it could well be a period on the sidelines for them whilst Bangladesh appetite returns along with the resurgent China.
The supplv side is still strong though so capacitv in all markets will be important going into the final month of the vear. Just how capable a still relatively vulnerable and pickv Bangladesh market is though in taking up the sub continent reigns remains to be seen..
For week 47 of 2012, GMS demo rankings for the week are as below:
CountryMarket SentimentCARGO PricesTANKER Prices
BangladeshCautiousUSD 390/Lt ldtUSD 420/lt ldt
PakistanCautiousUSD 3S5/lt ldtUSD 415/lt ldt
IndiaWeakUSD 380/Lt ldtUSD 410/lt ldt
ChinaBullishUSD 360/lt ldtUSD 380/Lt ldt
Another poor showing from the Indian market this week left a number of high priced deals in jeopardy and cash buver nerves once again frayed and confidence shattered.
The Indian rupee has been trading in excess of 55 to the dollar once again in echoes of the fourth quarter of last vear when so much money was lost. Added to the overall doom and gloom was the fact that scrap steel prices have lost as much as USD 25/LT LDT in total as well (despite some midweek gains).
Still, deals were concluded anew and the high priced inventorv continued to arrive. Eager Pakistan buvers and a rejuvenated Bangladesh market helped to absorb / divert some of the excess to some extent.
China though was once again market of the moment and prices there were approaching what the Indian market is capable of paving. Several market sales at impressive numbers (from local Chinese owners direct to yards on the most part) were evident of a hungry and bullish sentiment.
As a result, it is expected that the momentum could once again shift back East after a strong recent showing from both India and Pakistan. With several months of huge supplv still to digest in India it could well be a period on the sidelines for them whilst Bangladesh appetite returns along with the resurgent China.
The supplv side is still strong though so capacitv in all markets will be important going into the final month of the vear. Just how capable a still relatively vulnerable and pickv Bangladesh market is though in taking up the sub continent reigns remains to be seen..
For week 47 of 2012, GMS demo rankings for the week are as below:
CountryMarket SentimentCARGO PricesTANKER Prices
BangladeshCautiousUSD 390/Lt ldtUSD 420/lt ldt
PakistanCautiousUSD 3S5/lt ldtUSD 415/lt ldt
IndiaWeakUSD 380/Lt ldtUSD 410/lt ldt
ChinaBullishUSD 360/lt ldtUSD 380/Lt ldt
Source:
http://www.steelguru.com/international_news/GMS_report_on_ship_breaking_industry_for_WEEK_47_2012/293300.html
