SteelMint’s daily steel billet index is assessed at INR 48,250/tonne (t) (-INR 250) exw-Raipur on 18 Feb’22.
About 6,400 t of transactions in billets were recorded by SteelMint today against 2,000 t on 17 Feb.
The trade enquiries were limited during the first half, however, later rising pricing in the northern region, have turned trends optimistic across regions. Ultimately, spot trades have improved in a few locations, including the Raipur market.
Similar trends were observed in finished steel products, in which trade discounts in Raipur wire rods have reduced sharply in late hours compared to the floated offers in the morning session. Thus, sufficient deals reported through the suppliers.
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 48,300/t, four deals at INR 48,200/t, and one deal at INR 48,000/t. The average price of these nine transactions was INR 48,213/t and given a 50% weightage in the final price calculation.
- Other Price Indicators – bids/offers/indicative (T2) – Six offers reported in the trading window and considered as T2 inputs. The average price of these six was INR 48,240/t and given a 50% weightage in the final price calculation.
The final price for billet exw Raipur was at INR 48,226/t, rounded to INR 48,250/t exw.
Click for detailed methodology
T1 – Trade, T2 – Offer/Bid/Indicative, *Normalized price as per methodology
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