India: SteelMint's billet index rises INR 50/t d-o-d - 16 Nov

SteelMint's billet index rose by INR 50/t to INR 41,450/tonne (t) exw-Raipur on 16 November, 2023.

There was slight improvement in prices while offers remained firm throughout the day and fewer trades were seen. Buyers are awaiting for prices to climb down.

Transactions of around 2,560 t of billets were recorded as against 3,000 t on 15 November.

SteelMint's daily price assessments for rebar moved up by INR 100/t, while transaction volumes were recorded at 400 t.

SteelMint's daily price assessments for wire rod moved up by INR 200/t with trade volumes of 500 t recorded.

The conversion spread from sponge iron (PDRI) to billets of the standalone furnaces in Raipur was recorded at INR 13,750/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 41,400-41,500/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 41,418/t which is given a 50% weightage in the final price calculation.
  
  
• Other Price Indicators - bids/offers/indicative (T2) - Ten offers reported in the trading window and considered as T2 inputs. The average price of these ten were INR 41,463/t and given a 50% weightage in the final price calculation.
  
  

The final price for billet exw Raipur was at INR 41,441/t, rounded to INR 41,450/t exw.

Click for detailed methodology

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