India: SteelMint's billet index falls slightly by INR 50/t d-o-d - 13 Jan
SteelMint’s billet dropped by INR 50/tonne to INR 39,950/t exw-Raipur on 13 January, 2024. The index witnessed a minor decrease today, in line with the observed...
SteelMint's billet dropped by INR 50/tonne to INR 39,950/t exw-Raipur on 13 January, 2024.
The index witnessed a minor decrease today, in line with the observed range-bound market trend. Despite this slight decline, there was moderate buying activity observed in the semi-finished segment.
About 2,255 t of transactions were recorded as against 2,750 t on 12 January.
In the finished steel segment, rebar prices remained firm today while wire rod prices fell by INR 100/t. Sponge iron prices in Raipur fell by INR 100/t today.
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) - Four trades at INR 39,850-40,000/t were recorded during the 11:30 am to 3:30 pm SteelMint trading window and considered for final price calculation as T1 inputs. The average of these transactions was INR 39,937/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 39,913/t and given a 50% weightage in the final price calculation.
The final price for billet exw Raipur was at INR 39,925/t, rounded to INR 39,950/t exw.
Click for detailed methodology
T1 - Trade, T2 - Offer/Bid/Indicative, *Normalized price as per methodology