SteelMint: PELLEX stable on limited trades as market waits for NMDC price announcement

SteelMint's bi-weekly domestic pellet (Fe 63%) index, PELLEX, stood at INR 8,300/tonne (t) DAP Raipur, stable compared to the last assessment on 4 October, 2022. No deal was reported in this publishing window.

Rationale:

• PELLEX has been derived using data points: i.e. trades, offers and bids. You can download the detailed methodology by clicking on this link Click here.
  
  
• No deal was reported in this publishing window, therefore accorded 0% weightage for T1 trade.
  
  
• Eight (08) firm offers, bids and indicative prices were reported. Seven (07) were taken for price calculation and given another 100% weightage.
  
  
• SteelMint received two bids and both were taken into consideration at INR 8,250/t DAP in this publishing window.
  
  

Godawari Power and Ispat Ltd (GPIL) kept offers stable at INR 8,500-8,600/t exw ($106/t). Other Raipur-based pellet producers also kept the offers stable around INR 8,200/t exw.

In the beginning of this week, buyers showed active interest for pellets on declining prices, but as offers inched up the reponse slowed down. Also, limited buying amidst holidays and previous inventories kept pellet trades slow.

However, NMDC's price revision is still eagerly awaited by market participants.

SteelMint's price assessment for sponge P-DRI (FeM 80%) in Raipur was largely stable w-o-w at INR 31,900/t exw. On daily basis, too, prices remained stable.

Region-wise pellet offers and deals: