SteelMint’s daily steel billet index is assessed at INR 45,200/tonne (t) (- INR 100) exw-Raipur on 4 June 2022.
About 2,250 tonnes (t) of transactions in billets were recorded today as against 3,450 t on 3 June.
The index fell slightly on lower bids and limited spot trades due to poor demand for finished steel products along with expectations of further softening in offers. A majority of participants remained away from the market waiting for stability in offers, SteelMint notes.
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) – Six trades in the range of INR 45,000-45,400/t were recorded during the 11:30 am to 3:30 pm SteelMint trading window and considered for final price calculation as T1 inputs. The average of these transactions was INR 45,271/t which is given a 50% weightage in the final price calculation.
- Other Price Indicators – bids/offers/indicative (T2) – Fifteen offers reported in the trading window and considered as T2 inputs. The average price of these Fifteen was INR 45,140/t and given a 50% weightage in the final price calculation.
The final price for billet exw Raipur was at INR 45,206/t, rounded to INR 45,200/t exw.
Click for detailed methodology
T1 – Trade, T2 – offer/bid/indicative, *Normalized price as per methodology
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