SteelMint’s daily steel billet index was assessed at INR 45,150/tonne (t) (- INR 300) exw-Raipur on 14 June 2022.
About 3,650 tonnes (t) of transactions in billets were recorded by SteelMint today as against 3,500 t on 13 June.
The index fells on account of lower bids following declining steel prices in north India. However, sources reported that there was no selling pressure with the billet manufacturers as they had received sufficient orders over the last three-four days.
Price movements in the coming days will be dependent on finished steel demand as well as sentiments in the northern region, sources informed.
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) – Ten trades in the range of INR 45,000-45,200/t were recorded during the 02:30 pm to 05:30 pm SteelMint trading window and considered for final price calculation as T1 inputs. The average of these transactions was INR 45,153/t which is given a 50% weightage in the final price calculation. Apart from this one trade at INR 45,300/t was also recorded at 1:29 pm, but was excluded due to timing.
- 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 45,150/t and given a 50% weightage in the final price calculation.
The final price for billet exw Raipur was at INR 45,152/t, rounded to INR 45,150/t exw.
Click for detailed methodology
T1 – Trade, T2 – offer/bid/indicative, *Normalized price as per methodology
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