India: BigMint's billet index remains largely unchanged d-o-d - 29 Aug

BigMint's billet index remained stable at INR 38,300/tonne (t) exw-Raipur on 29 August 2024.

The index held steady due to sluggish market activity and muted buying interest, keeping prices largely unchanged throughout the day. The resistance to procuring material was linked to the ongoing weak demand in the finished steel segment.

In the finished steel market, rebar prices declined by INR 200/t with limited buying recorded d-o-d. Meanwhile, wire rod and sponge iron prices in Raipur remained stable today.

On the other hand, the conversion spread from sponge iron (PDRI) to billets for standalone furnaces in the Raipur region was recorded at INR 13,600/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) - Two trades at INR 38,300/t was 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 38,300/t which is given a 50% weightage in the final price calculation.
  
  
• Other price indicators - bids/offers/indicative (T2) - Nine offers were reported in the trading window and considered as T2 inputs. The average price of these nine was INR 38,333/t and given a 50% weightage in the final price calculation.
  
  

The final price of billets exw-Raipur was at INR 38,316/t, rounded off to INR 38,300/t exw.

Click for detailed methodology