India: Sponge iron market remains volatile amid limited demand - 1 Oct

Sponge iron prices in India showed mixed trends today, rising by INR 50-600/tonne (t) across various regions due to volatile and moderate market conditions. However, prices decreased by INR 50/t in Rourkela region only.

Despite the increase in offerings around the market, demand for sponge iron remained dull on Tuesday. Only need-based purchases took place.

South African RB2 (5500 NAR) coal prices remained firm at INR 9,350/t ex-Gangavaram.

PDRI prices closed within a range of INR 26,900-28,100/t. On the other hand, CDRI prices were assessed at INR 28,300-32,000/t.

A total of only 5,450 t of sponge iron deals were recorded as compared to 30,220 t on 30 September.

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