India: Sponge iron prices drop on soft steel demand - 22 Jun

Sponge iron prices in key domestic markets dropped by INR 100-300/tonne (t) due to soft steel demand. An ongoing downturn in steel prices, particularly in Punjab, dragged prices down. As a result, limited spot transactions have occurred leading to a decline in both offers and bids and mounting pressure on suppliers.

About 7,450 tonnes (t) of sponge iron transactions were recorded today in India as against 23,940 t on 21 June.

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