- Buying interest for semis improves d-o-d
- Positive sentiments keep offers supported
BigMint’s billet index rose further by INR 400/tonne (t) today to reach INR 39,950/t exw-Raipur on 26 February 2025.
The index recorded an uptick today, supported by positive market sentiments and an improvement in the finished steel segment, which helped sustain offers. However, overall market activity remained subdued as participation was restrained due to the ongoing festive holiday mode.
Despite the increase in prices, limited buying interest was observed, as traders and buyers adopted a cautious approach, preferring to wait for clearer market trends.
In Raipur, rebar prices rose by INR 300/t, with 3,000 t deals getting concluded. Wire rod prices rose by INR 500/t d-o-d. Sponge iron prices in Raipur also saw a notable increase of INR 300/t today.
The conversion spread from sponge iron (PDRI) to billets for the standalone furnaces in the Raipur cluster was recorded at INR 14,950/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) – Three trades at INR 39,900-40,000/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 39,961/t, which was given a 50% weightage in the final price calculation.
- Other price indicators – bids/offers/indicatives (T2) – Seven offers were reported in the trading window and considered as T2 inputs. The average price of these ten was INR 39,916/t and given a 50% weightage in the final price calculation.
The final price of billets was INR 39,939/t exw-Raipur, rounded off to INR 39,950/t exw.
Click here for detailed methodology
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