BigMint’s billet index dropped INR 300/t to INR 45,250/t exw-Raipur on 7 May, 2024.
On 7 May, there were over 1,100 t of deals, and on 6 may there were about 3,000 t.
Rebar prices in the finished steel market dropped INR 200/t with 1,500 t of transactions recorded. Furthermore, 500 t of wire rods deals were recorded, with a price decrease of INR 400/t d-o-d. Sponge iron prices dropped by INR 100/t.
The conversion spread from sponge iron (PDRI) to billets for the standalone furnaces in the region was recorded at INR 15,000/t.
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 45,200-45,300/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 45,240/t which is given a 50% weightage in the final price calculation.
- Other Price Indicators – bids/offers/indicative (T2) – Eight offers reported in the trading window and considered as T2 inputs. The average price of these eight was INR 45,270/t and given a 50% weightage in the final price calculation.
The final price for billet exw Raipur was at INR 45,255/t, rounded to INR 45,250/t exw.
Click for detailed methodology
T1 – Trade, T2 – Offer/Bid/Indicative, *Normalized price as per methodology
