India: Sponge iron prices rise further d-o-d on higher offers - 7 June

Sponge iron prices rose further by INR 100-500/tonne (t) in key locations of India as suppliers quoted higher offers. However, there was lack of buying interest at these prices which resulted in limited spot trade.

About 15,850 tonnes (t) of transactions were recorded across the country today as against 33,500 t seen on 6 June.

The semi-finished steel market also witnessed slow buying activity which resulted in a 56% d-o-d drop in sponge iron transactions.

Overall, market players are concerned about the price swings of sponge iron. Buyers are avoiding booking material at higher offers and only purchasing as per requirement, SteelMint learnt from sources.

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