SteelMint billet index rebound on improved trades- 25 Aug

SteelMint billet index (Exw Raipur) has been assessed at INR 29,250/t (+450), Exw Raipur on 25th August, 18:00 IST.

• 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 - Nine trades were recorded in the 2.30 to 5.30 pm SteelMint trading window and considered for final price calculation as T1 inputs. Out of which, five trades were recorded at INR 29,100/t, while two deals at INR 29,200/t, one trade at INR 29,000/t & one deal was at INR 29,250/t. The average price of these Nine transactions was INR 29,139/t and given a 50% weightage in the final price calculation.
  
  
• Other Price Indicators (Firm bids/offers) T2 - There were ten offers reported in the trading window and considered as T2 inputs. The average price of these was INR 29,340/t and given a 50% weightage in the final price calculation.
  
  

The final price for billet Exw-Raipur was INR 29,239/t, rounded to INR 29,250/t Exw.

Observation

• About 5,200 t billet trades reported, in which majority of deals concluded in local market & few for western markets.
  
  
• Regain in sponge prices & slight improved demand in finished goods along with less expectation of further drop in prices have resulted boost in billet & sponge iron demand.
  
  

For detailed methodology - Click here

T1: Trade
T2: Offer/Bid/Indicative
Offer and Trade reported during 11:00 to 14:30 IST are not considered in the index calculation