India: BigMint's billet index inches down by INR 50/t ($0.6/t) - 13 Mar'24

• Market remains range-bound
  
  
• Moderate to low transaction noted
  
  

BigMint's billet index inched down by INR 50/t to INR 39,950/t exw-Raipur on 13 March, 2024.

Today, the index remained range-bound, with a slight decrease observed at the end of the trading session due to varying market sentiments throughout the day. However, moderate to low transactions were reported across the steel segment.

About 1,400 t of transactions were recorded as against 1,500 t on 12 March.

The finished steel, rebar prices remained silent with low buying activity. Wire rod prices seen down by INR 100/t. Sponge iron prices seen upward by 50/t.

The conversion spread from sponge iron (PDRI) to billets for the standalone furnaces in the region was recorded at INR 13,350/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) - Three trades at INR 39,900-40,000/t were recorded during the 2:30 pm to 5:30 pm SteelMint trading window and considered for final price calculation as T1 inputs. The average of these transactions was INR 39,985/t which is given a 50% weightage in the final price calculation.
  
  
• Other Price Indicators - bids/offers/indicative (T2) - Twelve offers reported in the trading window and considered as T2 inputs. The average price of these twelve was INR 39,960/t and given a 50% weightage in the final price calculation.
  
  

The final price for billet exw Raipur was at INR 39,972/t, rounded to INR 39,950/t exw.

Click for detailed methodology

T1 - Trade, T2 - Offer/Bid/Indicative, *Normalized price as per methodology