India: Sponge iron prices drop on weak spot demand - 8 Jul

• South African RB2 prices remain stable
  
  
• Market witnesses limited trading activity
  
  

Indian sponge iron prices dropped by INR 50-650/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 24,300-26,700/t and CDRI prices, at INR 26,000-30,300/t.

South African RB2 prices remained stable today. Non-coking RB2 (5500 NAR) exw Gangavaram stood at INR 10,100/t ($121/t).

Owing to weak market sentiments very limited trading activity was reported today.

Only 5,000 tonnes (t) of sponge iron transactions were recorded in the country on Monday compared to 6,600 t on 5 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