SteelMint's billet index climbs INR 550/t on active demand - 11 Jan

SteelMint's daily steel billet index is assessed at INR 44,800/tonne (t) (+550) exw Raipur on 11 Jan'22.

About 6,050 t of transactions in billets were recorded by SteelMint today against 6,400 t on 10 Jan.

The index climbed on active demand amid improved enquiries for finished steel products during the late hours of yesterday's trading session. As a result, billet demand remained active in the first half today.

However, later in the day slow enquiries as well as declining prices in the northern region - the Punjab market - forced producers to lower their offers, even if slightly.

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) - Nine 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 four trades were recorded at INR 45,000/t, three deals at INR 44,800/t, and one deal each at INR 44,700/t, and INR 44,500/t. The average price of these nine transactions was INR 44,765/t and given a 50% weightage in the final price calculation. Apart from this one trade at INR 44,800/t was also recorded at 1:00 pm but was excluded due to timing.
  
  
• 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 44,800/t and given a 50% weightage in the final price calculation.
  
  

The final price for billet exw Raipur was at INR 44,783/t, rounded to INR 44,800/t exw.

Click for detailed methodology

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