SteelMint’s daily steel billet index was assessed at INR 44,400/tonne (t) (-INR 500) exw-Raipur on 8 June 2022.
About 3,850 tonnes (t) of transactions in billets were recorded by SteelMint today as against 4,170 t on 7 June.
The index dropped further following price correction in the northern region. However, on lower offers, spot demand improved for both sponge iron and billets in Raipur. However, demand for finished steel products continue to remain sluggish, 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) – Seven trades in the range of INR 44,300-44,600/t were recorded during the 2:30 pm to 05:30 pm SteelMint trading window and considered for final price calculation as T1 inputs. The average of these transactions was INR 44,403/t which is given a 50% weightage in the final price calculation.
- Other Price Indicators – bids/offers/indicative (T2) – Eight offers reported in the trading window and considered as T2 inputs. The average price of these eight was INR 44,420/t and given a 50% weightage in the final price calculation.
The final price for billet exw Raipur was at INR 44,412/t, rounded to INR 44,400/t exw.
Click for detailed methodology
T1 – Trade, T2 – offer/bid/indicative, *Normalized price as per methodology
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