India: Sponge iron prices decrease d-o-d - 2 Aug

Indian sponge iron prices dropped by INR 50-400/t d-o-d across markets today.

Sponge prices declined amid lack of demand in the downstream market. Buyers waited for further correction in the market and were hesitant to procure material.

PDRI prices were assessed at around INR 24,300-27,200/t at close of trading today while CDRI prices stood at INR 26,500-30,500/t.

South African non-coking coal, RB2 (5500 NAR), prices remained stable at INR 9,650/t ($115/t) exw Gangavaram.

Only 1,000 t of sponge iron transactions were recorded in the country today compared to 7,400 t on 1 Aug.

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