SteelMint’s daily steel billet index was assessed at INR 57,600/tonne (t) (-INR 50) exw Raipur on 21 Apr’22.
Today trade volumes stayed firm at 3,750 t, stable as against 20 Apr.
The index slightly fell on lower bids and measured demand on account of limited enquiries in finished steel products. Hence, prices of billet continued to soften in spot trades despite ongoing power cuts in central India, which largely affected production of furnaces.
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 57,500-57,800/t were recorded during the 2:30 pm to 5:30 pm SteelMint trading window and considered for final price calculation as T1 inputs. The average of these transactions was INR 57,633/t which is given a 50% weightage in the final price calculation. Apart from this three trades at INR 58,000/t were also recorded at 12:34 pm, 2:00 pm, and 2:24 pm but was excluded due to timing.
- Other Price Indicators – bids/offers/indicative (T2) – Ten offers reported in the trading window and considered as T2 inputs. The average price of these 10 was INR 57,600/t and given a 50% weightage in the final price calculation.
The final price for billet exw Raipur was at INR 57,617/t, rounded to INR 57,600/t exw.
Click for detailed methodology
T1 – Trade, T2 – Offer/Bid/Indicative, *Normalized price as per methodology
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