India: Sponge iron prices drop further amid uncertain market trends - 28 Dec

Sponge iron prices dipped further on 28 December, 2023, by INR 50-350/t in key locations of India on uncertain market trends.

PDRI market prices closed at a range of INR 25,000-27,500/t and CDRI prices, at INR 27,100-31,400/t.

Overall, spot trading activity remained limited. But, even though price volatility persisted, buyers were looking for the material at lower prices.

About 16,860 tonnes (t) of sponge iron transactions were recorded in the country on Thursday compared to 15,500 t on 27 December.

Spot purchasing uncertainty, combined with fluctuating steel prices, contributed to a reduction in sponge iron prices. In this context, market participants are uncertain about the direction of prices in the next few days.

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