India: SteelMint's billet index drops INR 100/t - 9 Feb

SteelMint's billet index declined by INR 100/t d-o-d to INR 45,650/tonne (t) exw-Raipur on 9 February, 2023.

Billet prices decreased amid slow booking. Demand in the finished long segment was high today and hence substantial bookings of finished steel were seen. However, the market in north India remained slow further impacting prices.

Transactions of around 3,300 t were recorded today in Raipur as against 1,120 t on 8 February.

SteelMint's daily price assessment for rebar declined by INR 400/t, while and wire rods prices fell by INR 200/t d-o-d. Meanwhile, sponge iron prices dropped INR 50/t.

Around 2,950 t of wire rod trades and 1,800 t of rebar deals were reported in Raipur.

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) - Four trades at INR 45,600-45,800/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 45,627/t which is given a 50% weightage in the final price calculation.
  
  
• Other Price Indicators - bids/offers/indicative (T2) - Nine offers reported in the trading window and considered as T2 inputs. The average price of these nine was INR 45,633/t and given a 50% weightage in the final price calculation.
  
  

The final price for billet exw Raipur was at INR 45,630/t, rounded to INR 45,650/t exw.

Click for detailed methodology

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