SteelMint’s daily steel billet index is assessed at INR 41,600/tonne (t) (+INR 550) exw-Raipur on 22 Dec’21.
About 9,820 t of transactions in billets were recorded by SteelMint today against 3,120 t on 21 Dec.
The index moved up on renewed buying followed by a surge in offers in the northern region – Punjab. In addition, to maintain stocks of raw material along with expectations of bottomline offers, the major buyers have resumed billet bookings, SteelMint notes.
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%.
Rationale –
- Transactions (T1) – Fourteen 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 41,500/t, four at INR 41,600/t, two deals at INR 41,400/t, two at 41,650/t and one deal each at INR 41,800/t and INR 41,700/t. The average price of these fourteen transactions was INR 41,623/t and given a 50% weightage in the final price calculation.
- Other Price Indicators – bids/offers/indicative (T2) – Ten offers reported in the trading window and considered as T2 inputs. The average price of these ten was INR 41,556/t and given a 50% weightage in the final price calculation.
The final price for billet exw Raipur was at INR 41,589/t, rounded to INR 41,600/t exw.
Click for detailed methodology
T1 – Trade, T2 – Offer/Bid/Indicative, *Normalized price as per methodology
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