India: Sponge iron prices drop on weak spot demand - 18 Jul

Indian sponge iron prices dropped by INR 150-300/tonne (t) today in all major locations. Sponge iron prices fell due to the downtrend in semi-finished and finished long steel which led to weak demand throughout the day.

PDRI market prices closed at a range of INR 24,400-26,900/t and CDRI prices, at INR 26,250-30,500/t.

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

Owing to weak market sentiments very limited trading activity was reported today. Only 5,150 t of sponge iron transactions were recorded today compared to 9,700 t on 17 July.

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