India: Sponge iron prices drop further amid weak buying interest - 2 Sep

Sponge iron prices decreased today in the range of INR 100-300/t across regions due to weak demand and prevailing bearish market sentiments. Despite lower offers in the spot market, buyers opted to wait and watch, as sentiments in the finished steel segment remained less than supportive.

South African RB2 coal prices remained stable today. Non-coking (5500 NAR) coal exw-Gangavaram prices stands at INR 9,600/t ($114/t).

PDRI prices stood at INR 23,400-25,750/t at close of trading today, while CDRI prices were assessed at INR 26,000-29,900/t.

About 3,600 tonne (t) of sponge iron deals were recorded today compared to 5,850 t on 30 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