Sponge iron prices in India witnessed mixed trends today, falling by INR 100-150/t in the southern region, whereas prices remained mostly stable in other key locations. Spot trading remained moderate throughout the day across regions. Market participants are cautious about price movements and hence are trying to avoid bulk bookings.
About 20,860 t of sponge iron transactions were recorded today in India as against 8,800 t on 21 January.
Snapshots of key markets
- Rourkela: Prices remained stable today. However, trades were still less than average, resulting in limited enquiries. Market participants were low on confident about booking material due to volatile price movements. This limited spot trading, with buyers engaging in need-based bookings.
- Raipur: The market remained sluggish as buyers refused to accept higher offers. The market in the northern region also reflected a declining trend. Price levels remained unchanged compared to the last trading day.
- Bellary: Sponge iron prices fell as sellers cut their offers further to boost sales volumes.
- Durgapur: The market rose marginally with limited demand and trade being witnessed. Prices were almost rangebound as high raw material prices forced sellers to keep offers stable.
- Ramgarh: Average trade volumes were recorded today; however, buyers continued to avoid bulk bookings. Unpredicted price movements in the market was the key reason for low buying interest.
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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