India: Sponge iron trade volumes increase on fall in spot prices - 25 Apr

Prices of sponge iron continued to decline. Despite an increase in spot trade, prices in key regions of the country dropped by INR 50-700/t. Sponge iron prices have been fluctuated significantly of late, making it difficult for buyers to make any predictions. Market participants who are doing need-based purchases, are now being more cautious.

A total of 24,340 tonnes (t) of transactions were recorded today as against 8,750 t on 24 April on the back of the price decline.

The downtrend in sponge iron pricing has also been influenced by a lack of optimism in the market. Buyers are making only need-based bookings.

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