Cement Stocks Outlook for the week – 12 to 19.06.2017
Cement Stocks Outlook for the week – 12 to 19.06.2017
( www.rupeedesk.in )
Stocks of cement companies are seen trading lower next week because of the recent price cuts
announced by companies in some regions and also due to expectations of a weak demand during
monsoon.Earlier this week, as reported that some cement companies had cut prices by 10-20 rupees per 50-kg bag in Delhi-National Capital Region and by 15-25 rupees per 50-kg bag in Andhra Pradesh and Telangana. However, cement makers in West Bengal have hiked prices by 10-20 rupees per 50 kg
bag due to an improvement in demand ahead of monsoon, as major construction work needs to be
completed. Cement demand mostly goes down during monsoon as the construction work almost omes to a standstill. This year should be no different. Last week Road Transport Minister Nitin Gadkari had said cement companies had been unfairly hiking prices despite no corresponding increase in input osts and had warned them of action. However, are positive on cement sector in the long term. A good monsoon will give a boost to demand and it will strengthen after Monsoon. Higher spending on infrastructure by the central and state governments along with the infrastructure status given to affordable housing in Union Budget 2016-17 (Apr-Mar) is expected to improve demand.
Source : Cogencis Information Services Ltd.
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Cement Stocks Outlook for the week – 12 to 19.06.2017
( www.rupeedesk.in )
Stocks of cement companies are seen trading lower next week because of the recent price cuts
announced by companies in some regions and also due to expectations of a weak demand during
monsoon.Earlier this week, as reported that some cement companies had cut prices by 10-20 rupees per 50-kg bag in Delhi-National Capital Region and by 15-25 rupees per 50-kg bag in Andhra Pradesh and Telangana. However, cement makers in West Bengal have hiked prices by 10-20 rupees per 50 kg
bag due to an improvement in demand ahead of monsoon, as major construction work needs to be
completed. Cement demand mostly goes down during monsoon as the construction work almost omes to a standstill. This year should be no different. Last week Road Transport Minister Nitin Gadkari had said cement companies had been unfairly hiking prices despite no corresponding increase in input osts and had warned them of action. However, are positive on cement sector in the long term. A good monsoon will give a boost to demand and it will strengthen after Monsoon. Higher spending on infrastructure by the central and state governments along with the infrastructure status given to affordable housing in Union Budget 2016-17 (Apr-Mar) is expected to improve demand.
Source : Cogencis Information Services Ltd.
