SteelMint: Rourkela sponge iron index falls on limited enquiries - 31 Mar

SteelMint's daily sponge iron, CDRI, index is assessed at INR 39,750/tonne (t) (- INR 250) exw Rourkela on 31 Mar'22.

About 1,000 t of transactions in CDRI were recorded by SteelMint today against 405 t on 30 Mar.

The index dropped on account of limited market participation as most players remained busy settling their books.

The major buyers and suppliers were holding their bids and offers and ful-fledged trade activities are expected to resume from next week, once the payment cycle normalises, SteelMint notes.

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) - Three trades were recorded in the 11:30 am to 5:30 pm SteelMint trading window and considered for final price calculation as T1 inputs. Out of which two trades were recorded at INR 39,800/t, and one deal at INR 40,000/t. The average price of these three transactions was INR 39,880/t and given a 50% weightage in the final price calculation.
  
  
• Other Price Indicators - bids/offers/indicative (T2) - Nineteen offers reported in the trading window and considered as T2 inputs. The average price of these nineteen was INR 39,659/t and given a 50% weightage in the final price calculation.
  
  

The final price for sponge CDRI exw Rourkela was at INR 39,770/t, rounded to INR 39,750/t exw.

Click for detailed methodology

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