India: BigMint's billet index drops by INR 300/t d-o-d - 24 Dec

• Prices drop on subdued sentiments
  
  
• Trades take place at lower offers
  
  

BigMint's billet index fell by INR 300/tonne (t) d-o-d to INR 39,000/t exw-Raipur on 24 December 2024.

The index dropped following pessimistic sentiments in the semi-finished steel market. Following the slump, transactions were observed at lower offers. The finished steel segment saw a nominal volume being transacted.

Transactions of about 700 t were recorded today.

In the finished steel segment, rebar prices fell by INR 200/t d-o-d, and wire rod tags declined by INR 200/t d-o-d. Sponge iron prices fell by INR 150/t d-o-d.

The conversion spread from sponge iron (PDRI) to billets for the standalone furnaces in the region was recorded at INR 14,350/t.

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%.

• Transactions (T1) - One trade at INR 39,000/t were recorded during the 2:30 pm to 5:30 pm BigMint trading window and considered for final price calculation as T1 inputs. The average of these transactions was INR 39,247/t, which was given a 50% weightage in the final price calculation.
  
  
• Other price indicators - bids/offers/indicatives (T2) - Nine offers were reported in the trading window and considered as T2 inputs. The average price of these nine was INR 39,000/t and given a 50% weightage in the final price calculation.
  
  

The final price of billets exw-Raipur was at INR 39,000/t exw.

Click here for detailed methodology