BigMint’s billet index rose slightly by INR 150/tonne (t) today to INR 39,200/t exw-Raipur on 19 November 2024.
The index recorded a slight increase today, reflecting fluctuating market sentiments and volatile spot offerings. This positive shift was driven by improved buying interest, which rose above moderate levels after a prolonged period of subdued activity. The increase in demand supported spot offers, leading to a notable improvement in buying activity on d-o-d.
In the finished steel market, rebar price decreased by INR 100/t today, with 1,100 t deals were concluded, while wire rod prices increased by INR 200/t, 550 t trades were confirmed. Meanwhile, sponge iron tags in Raipur inched down by INR 100/t today.
The conversion spread from sponge iron (PDRI) to billets for standalone furnaces in the region was recorded at INR 14,000/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) – Five trades at INR 39,000-39,400/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 39,241/t, which was given 50% weightage in the final price calculation.
- Other price indicators – bids/offers/indicative (T2) – Nine offers were reported in the trading window and considered as T2 inputs. The average price of these ten was INR 39,200/t and given 50% weightage in the final price calculation.
The final price of billets exw-Raipur was INR 39,220/t exw, rounded off to INR 39,200/t exw.
Click for detailed methodology
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