- Rebar prices drop by INR 100/t, wire rods stable
- Transactions fall slightly d-o-d amid higher offer
BigMint’s billet index was assessed at INR 40,000/tonne (t) exw-Raipur, up by INR 200/t, on 8 March, 2024.
The index jumped up slightly today, amid rising offers while transaction also concluded in a similar price range, though the market remained silent on account of the occasion of Mahashivratri.
About 2,200 t of transactions were recorded today as against 2,900 t on 7 March, falling slightly d-o-d possibly because of the higher price level.
Rebar prices were down by INR 100/t while 500 t of transactions were noted. Wire rod prices remained stable and 1,100 t of volumes were taken on record. Sponge iron prices were up by INR 100/t.
The conversion spread from sponge iron (PDRI) to billets for the standalone furnaces in the region was recorded at INR 13,400/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) – Four trades at INR 40,100-40,300/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 40,174/t which is given a 50% weightage in the final price calculation.
- Other price indicators – bids/offers/indicative (T2) – Seven (7) offers were reported in the trading window and considered as T2 inputs. The average price of these 7 was INR 40,200/t and given a 50% weightage in the final price calculation.
The final price for billets exw-Raipur was at INR 40,187/t, rounded to INR 40,200/t exw.
Click for detailed methodology
T1 – Trade, T2 – Offer/Bid/Indicative, *Normalized price as per methodology
