SteelMint: Raipur billet index slips as buyers resist higher offers - 21 May

SteelMint's daily steel billet index was assessed at INR 50,600/tonne (t) (-INR 500) exw-Raipur on 21 May 2022.

About 1,850 t of transactions in billets were recorded today as against 3,850 t on 20 May.

The index plummeted following lower bids as buyers resisted higher offers citing weak demand for finished steel products on higher offers. This resulted in the fall in spot billet trades and prices.

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) - Five trades in the range of INR 50,400-50,800/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 50,533/t which is given a 50% weightage in the final price calculation.
  
  
• Other Price Indicators - bids/offers/indicative (T2) - Twenty-one offers reported in the trading window and considered as T2 inputs. The average price of these twenty-one was INR 50,700/t and given a 50% weightage in the final price calculation.
  
  

The final price for billet exw Raipur was at INR 50,617/t, rounded to INR 50,600/t exw.

Click for detailed methodology

T1 - Trade, T2 - offer/bid/indicative, *Normalized price as per methodology