SteelMint: Rourkela sponge iron index falls on lower bids - 3 Dec

SteelMint's daily sponge iron, CDRI, index was assessed at INR 30,750/tonne (t) (- INR 250) exw-Rourkela on 3 December, 2022.

About 1,000 t of transactions were recorded today as against 2,300 t on 2 December.

The market saw limited buying activity, and the bids were observed to be on the lower side, which had an adverse impact on the market. The semi-finished steel segment too saw weak buying activity.

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) - Four trades in the range of INR 30,700-30,800/t was 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 30,725/t which is given a 50% weightage in the final price calculation.
  
  
• Other Price Indicators - bids/offers/indicative (T2) - Seventeen offers reported in the trading window and considered as T2 inputs. The average price of these seventeen was INR 30,746/t and given a 50% weightage in the final price calculation.
  
  

The final price for sponge CDRI exw Rourkela was at INR 30,736/t, rounded to INR 30,750/t exw.

Click for detailed methodology

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