www.rupeedesk.in
Stocks of major steel companies are seen down in the next 4-5 sessions on expectations that poor domestic demand in Jan-Mar despite it being the peak season may have affected earnings. Domestic steel demand is at its peak during Oct-May on full-fledged industrial activity. A meaningful recovery in demand appears unlikely near-term as lead indicators are stagnant, recovery in investment cycle is likely to be delayed and de-stocking across end user segments should continue. Apart from the weak demand scenario in the domestic market, cheap steel imports from China may hit steel companies' product price hike prospects going ahead.
Stocks of major steel companies are seen down in the next 4-5 sessions on expectations that poor domestic demand in Jan-Mar despite it being the peak season may have affected earnings. Domestic steel demand is at its peak during Oct-May on full-fledged industrial activity. A meaningful recovery in demand appears unlikely near-term as lead indicators are stagnant, recovery in investment cycle is likely to be delayed and de-stocking across end user segments should continue. Apart from the weak demand scenario in the domestic market, cheap steel imports from China may hit steel companies' product price hike prospects going ahead.