India: BigMint's billet index rises INR 100/t amid limited buying d-o-d - 14 Feb
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BigMint's billet index increased by INR 100/t, reaching to INR 39,000/t exw-Raipur on 14 February, 2024.
The index moved upward today, driven by increased buying activity in the previous trading session, which contributed to a rising market trend. However, buying activity today remained slow, as sufficient orders had already been placed at the lowest offerings in the semi-finished steel segment.
About 1,900 t of transactions were recorded today as against 4,300 t on 13 February.
The finished steel segment rebar prices were constant, backed by 4,400 t of transactions. Wire rod prices increased by INR 200/t, with 2,600 t of volume recorded. Sponge iron prices were reduced by INR 50/t.
The conversion spread from sponge iron (PDRI) to billets for the standalone furnaces in the region was recorded at INR 13,000/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 39,000/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 39,000/t which is given a 50% weightage in the final price calculation.
- Other Price Indicators - bids/offers/indicative (T2) - Six offers reported in the trading window and considered as T2 inputs. The average price of these six was INR 38,980/t and given a 50% weightage in the final price calculation.
The final price for billet exw Raipur was at INR 38,990/t, rounded to INR 39,000/t exw.
Click for detailed methodology
