India: Sponge iron prices decrease on limited spot buying - 9 Feb

Sponge iron prices in India witnessed a substantial drop, decreasing by INR 50-400/t in almost all major markets. This decline is attributed to negative market sentiments due to a slight drop in semi-finished steel prices.

However, sponge iron prices in Ramgarh and Bellary showed a marginal rise of INR 50/t.

PDRI prices closed at a range of INR 24,800-27,000/t and CDRI prices at INR 26,200-30,800/t.

Only 3,680 tonnes (t) of sponge iron transactions were recorded in the country on Friday compared to 18,000 t on 8 February.

Cautious attitude from buyers along with the continuous decline in prices appears to have influenced buying decisions, resulting in muted market activity d-o-d.

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