India: BigMint's billet index inches up by INR 50/t - 22 Feb'24

BigMint's billet index moved up by INR 50/t to INR 39,300/t exw-Raipur on 22 February, 2024.

The index today exhibited firmness, but the northern market saw a favorable trend resulting in more volume purchasing and causing the market to rise.

About 3,650 t of transactions were recorded as against 2,500 t on 21 February.

The finished steel segment rebar prices dropped by INR 100/t and 900 t of transaction recorded. Wire rod prices remained firmed with 1,200 t of volumes were recorded. Sponge iron prices were seen down by INR 200/t.

The conversion spread from sponge iron (PDRI) to billets for the standalone furnaces in the region was recorded at INR 13,100/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) - Five trades at INR 39,200-39,350/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 39,289/t which is given a 50% weightage in the final price calculation.
  
  
• Other Price Indicators - bids/offers/indicative (T2) - Fourteen offers reported in the trading window and considered as T2 inputs. The average price of these fourteen was INR 39,300/t and given a 50% weightage in the final price calculation.
  
  

The final price for billet exw Raipur was at INR 39,295/t, rounded to INR 39,300/t exw.

Click for detailed methodology

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