Just as the Indian market seemed to be getting back on its feet after the brutal assault on the currency that had seen end buyers lose almost 15% of the value of their inventories over a two-week period, this week local steel plate prices conspired to present an equally catastrophic market sentiment.
Many buyers simply chose to ride out the storm and wait for some sort of stability to return to the market before offering on any new tonnage. This was reflected in the lack of sales this week-Save for the specialist LNG barge FORMENTERA (2,154 LDT) at an impressive USD 5I0/LT LDT (due to the high quantity of non-ferrous on board including the 386 Tons of solid aluminum tanks), there was very little in the way of market sales to report.
The brief period of optimism that seemed to be dawning last week (and resulted in the sale of the CSL STEFANIE for an incredible price excess USD 440/LT LDT with significant bunkers - extremely risky for a prompt vessel!), sentiment, prices and demand have once again dipped to new lows.
There was talk of one or two dry vessels concluded below USD 380/LT LDT - leaving those in the industry under no illusions that these are unfortunately the new realities on price and it may be some time before we see a definitive and significant swing upwards.
Source: steel guru. 30 July 2013