SteelMint’s daily steel billet index was assessed at INR 49,700/tonne (t) (+ INR 400/t) exw-Raipur on 12 August, 2022.
About 3,550 t of billet transactions were recorded today as against 3,200 t on 10 August.
The index rose further following firm (active) demand in the spot market during the first half. However, later demand was slow as buyers turned cautious on taking positions citing higher offers and dull finished steel sales.
SteelMint’s daily price assessment for rebar rose by INR 700/t and wire rods by INR 400/t, while sponge iron offers gained by INR 300-400/t in Raipur.
SteelMint recorded about 1,200 t of wire rod transactions in Raipur today against 2,400 t on 10th August.
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) – Three trades at INR 49,700-49,900/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 49,700/t which is given a 50% weightage in the final price calculation. Apart from this two trades at INR 50,000/t, and one trade at INR 50,200/t were also recorded at 1:07 pm, 1:23 pm, and 2:10 pm but was excluded due to timing.
- Other Price Indicators – bids/offers/indicative (T2) – Seven offers reported in the trading window and considered as T2 inputs. The average price of these seven was INR 49,733/t and given a 50% weightage in the final price calculation.
The final price for billet exw Raipur was at INR 49,717/t, rounded to INR 49,700/t exw.
Click for detailed methodology
T1 – Trade, T2 – Offer/Bid/Indicative, *Normalized price as per methodology
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