- Muted spot trading activity amid festivity
Sponge iron prices in India dropped further by INR 50-500/t in major markets. This decline can be attributed to a negative market sentiment influenced by a significant downturn in the semi-finished steel segment.
PDRI market prices closed at a range of INR 27,700-29,250/t and CDRI prices at INR 28,700-34,800/t.
South African RB2 prices remained stable today. Non-coking RB2 (5500 NAR) exw Gangavaram stood at INR 9,850/t ($118/t).
Cautious perspectives from the buyers’ end, along with the continuous decline in prices, appeared to have influenced buying decisions, resulting in muted market activity.
Another reason behind this drop in spot trade volumes was festivity (Hanuman Jayanti) which is why most of the participants were inactive today.
Only 5,100 tonnes (t) of sponge iron transactions were recorded in the country on Tuesday compared to 3,400 t on 22 April.
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
