- Buying activity weakens amid higher offers
- Sentiments remain range-bound d-o-d
BigMint’s billet index inched up by INR 50/tonne (t) today to INR 40,000/t exw-Raipur on 27 February 2025.
The billet index saw a marginal increase by the end of today’s trading session, influenced by volatile market sentiments. India’s ongoing steel anti-dumping (AD) investigations against Vietnam, which were postponed today, contributed to fluctuations in spot offerings, keeping prices largely unstable.
Despite this, participants exercised caution, adopting a wait-and-watch approach as they sought more clarity on market stability in the near term.
In Raipur, rebar prices experienced an increase of INR 500/t, with limited buying d-o-d. Similarly, wire rod prices rose by INR 300/t d-o-d. Sponge iron prices in Raipur remained stable today.
The conversion spread from sponge iron (PDRI) to billets for the standalone furnaces in the Raipur cluster was recorded at INR 15,000/t.
Rationale
This index is derived based on transaction, offers, bids, 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) – Two trades at INR 40,000/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 40,000/t, which was given a 50% weightage in the final price calculation.
- Other price indicators – bids/offers/indicatives (T2) – Eight offers were reported in the trading window and considered as T2 inputs. The average price of these eight was INR 40,040/t and given a 50% weightage in the final price calculation.
The final price of billets was INR 40,020/t exw-Raipur, rounded off to INR 40,000/t exw.
Click here for detailed methodology
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