- Finished steel demand remains slow d-o-d
- Varying market sentiments affect buying
BigMint’s billet index inched up by INR 50/t d-o-d, reaching INR 39,350/tonne (t) exw-Raipur on 21 February 2025.
The index remained largely stable today, with a slight increase seen towards the end of the trading session. Varying market sentiments influenced buying activity, keeping demand on the lower side for both the semi-finished and finished steel segments throughout the day.
Market participants chose to wait and watch, leading to limited transactions d-o-d
In Raipur, rebar prices remained stable throughout the day, while wire rod prices decreased by INR 200/t d-o-d. Additionally, sponge iron prices in Raipur dropped by INR 150/t d-o-d today.
The conversion spread from sponge iron (PDRI) to billets for the standalone furnaces in the Raipur cluster was recorded at INR 14,800/t.
Rationale
This index is derived based on transaction, offer, bid, and indicative price data sets. Transactions are considered 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 39,300-39,400/t were recorded during the 2:30 pm to 5:30 pm BigMint trading window and considered for final price calculation as T1 inputs. The average of these transactions was INR 39,347/t, which was given a 50% weightage in the final price calculation.
- Other price indicators – bids/offers/indicatives (T2) – Eleven offers were reported in the trading window and considered as T2 inputs. The average price of these eleven was INR 39,321/t and given a 50% weightage in the final price calculation.
The final price of billets was INR 39,334/t exw-Raipur, rounded off to INR 39,350/t exw.
Click here for detailed methodology
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