India: Sponge iron prices edge down in key markets - 6 Jun

• Buying activity picks up slightly on lower offers
  
  
• Imported non-coking coal prices remain stable
  
  

Sponge iron prices in India experienced a significant drop in the range of INR 150-550/t in key domestic markets due to negative market sentiments prevailing across regions. Despite the initial downturn, there was a slight improvement in buying activity in the second half of trading today, as per BigMint assessment.

PDRI prices were assessed at INR 26,600-28,700/t at close of trading and CDRI prices at INR 29,000-34,800/t.

South African RB2 coal prices remained stable today. Imported non-coking coal (5500 NAR) prices exw Gangavaram were assessed at INR 10,200/t ($122/t).

Trades increased slightly d-o-d due to lower offers in the latter half today. About 11,850 tonnes (t) of sponge iron transactions were recorded in the country on Thursday compared to 10,560 t on 5 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