India: BigMint's billet index falls INR 100/t d-o-d on weak market sentiments - 9 Sep

BigMint's billet index dropped a further INR 100/t today due to limited buying activity, reaching INR 37,700/tonne (t) exw-Raipur at close of trading on 9 September, 2024.

In the finished steel market, rebar prices decreased by INR 300/t, with trade volumes of 2,900 t recorded today, while wire rod prices edged lower by INR 200/t d-o-d. Meanwhile, sponge iron prices in Raipur inched down by INR 50/t.

The conversion spread from sponge iron (PDRI) to billets of the standalone furnaces in the region was recorded at INR 13,050/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) - Three trades at INR 37,700/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 37,700/t which is given a 50% weightage in the final price calculation.
  
  
• Other price indicators - bids/offers/indicative (T2) - Ten offers were reported in the trading window and considered as T2 inputs. The average price of these ten was INR 37,706/t and given a 50% weightage in the final price calculation.
  
  

The final price of billets exw-Raipur was at INR 37,703/t, rounded off to INR 37,700/t exw.

Click for detailed methodology