India: Sponge iron market remains upbeat on rising steel prices - 27 Jun

• Buying slows down on higher offers
  
  
• South African RB2 prices remain stable
  
  

Sponge iron prices in India increased due to an uptrend in the semi-finished steel. Sponge iron prices rose by INR 300-700/t d-o-d on Thursday in major regions. However, spot trade volumes were moderate as buyers were resisting to book material at such high offers.

PDRI market prices closed at a range of INR 23,800-27,200/t and CDRI prices, at INR 25,850-30,600/t.

South African RB2 prices remained stable today. Non-coking RB2 (5500 NAR) exw Gangavaram stood at INR 10,100/t ($121/t).

Buying activity was a bit slow today compared to yesterday's trading session as participants had already placed enough orders yesterday.

About 15,700 tonnes (t) of sponge iron transactions were recorded in the country on Thursday compared to 33,500 t on 26 June.

Rationale -

Prices have been derived based on transactions, offers, bids and indicative price data sets. Transactions are considered as T1 and given a weightage of 50% whereas other data sets are considered as T2 and given a weightage of the balance 50%.

Click for detailed methodology

T1 - Trade, T2 - Offer/Bid/Indicative