Indian sponge iron prices fell by INR 100-200/t in key locations. Prices in the northern and eastern regions continued to fall as spot trade remained limited. This exerted pressure on prices. As a result, suppliers felt slight selling pressure leading to decline in both offers and bids.
As market participants turned wary, fewer enquiries were heard. Uncertain price movements, according to sources, impacted spot trade volumes.
About 14,710 t of sponge iron transactions were recorded today in India as against 17,920 t on 22 February.
Snapshots of key markets
- Rourkela: Prices trended down on lower bids followed by volatile prices in north India. Buyers were cautious and procured material as per immediate needs and on lower offers. Thus, prices continued to soften.
- Raipur: The market remained sluggish, with no significant trade recorded. Prices remained unchanged from the previous trading day.
- Bellary: Sponge iron prices were impacted by weak demand; bids declined which led to weak buying activity. Spot trade was also recorded on the lower side today.
- Durgapur: The market witnessed a marginal decline today. However, trades improved significantly. Sellers reduced offers on account of negative trends prevailing in the northern region.
- Ramgarh: The market saw moderate demand throughout the day and trade remained limited. Buying interest, however, was low as offers were on the higher side.
Rationale –
This index has 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
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