India: Sponge iron prices fall further by INR 100-250/t d-o-d on weak demand - 8 Jan

• Finished steel demand remains slow
  
  
• Limited buying seen despite lower offers
  
  

India's sponge iron offers declined by INR 100-250/tonne (t) d-o-d across regions; weak buying interest continued to weigh on spot offers d-o-d.

The sponge iron market witnessed further corrections today influenced by sluggish movement in the finished steel segment, which led to a decrease in spot offers. Despite this, buyers continued to adopt a wait-and-watch approach, closely monitoring market trends for potential shifts in the near term.

PDRI prices stood at INR 23,100-26,000/t at close of trading today, while CDRI offers were assessed at INR 25,800-30,700/t.

Deals for about 8,300 t of sponge iron were recorded today compared to 6,600 t on 7 January.

Rationale

Prices have been derived based on data sets of transactions, offers, bids, and indicative prices. Transactions are considered as T1 and given a weightage of 50%, whereas other data sets are considered T2 and given a weightage of the balance 50%.

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T1 - Trade, T2 - Offer/Bid/Indicative