SteelMint: Raipur billet index stable, trades improve - 2 Dec

SteelMint's daily steel billet index is assessed at INR 41,000/tonne (t) (=) exw-Raipur on 2 Dec'21.

About 3,800 t of transactions in billets were recorded by SteelMint today against 1,030 t on 1 Dec.

The index stayed firm on account of positive price movements during the first half today. However, later in the day falling prices in the northern region resulted in lower buying interest as well bids in the spot market.

Sources are expecting subdued demand to keep billet prices under pressure. They are also apprehending a further drop in sponge iron prices on declining raw materials prices.

• 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 were recorded in the 2:30 pm to 5:30 pm SteelMint trading window and considered for final price calculation as T1 inputs. Out of which three trades were recorded at INR 41,000/t, and one deal each at INR 41,300/t, and INR 40,900/t. The average price of these five transactions was INR 41,000/t and given a 50% weightage in the final price calculation.
  
  
• Other Price Indicators - bids/offers/indicative (T2) - Nine offers reported in the trading window and considered as T2 inputs. The average price of these nine was INR 41,033/t and given a 50% weightage in the final price calculation.
  
  

The final price for billet exw Raipur was at INR 41,017/t, rounded to INR 41,000/t exw.

Click for detailed methodology

T1: Trade
T2: Offer/Bid/Indicative