SteelMint’s daily steel billet index is assessed at INR 55,400/tonne (t) (+INR 500) exw-Raipur on 6 May 2022.
About 4,300 tonnes (t) of transactions in billets were recorded by SteelMint today as against 4,800 t on 5 May.
The billet index increased further on active demand and price recovery in the northern region – Punjab. Demand was limited during the first half, while in the late trading hours demand improved, which led to a surge 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 55,000-55,400/t were recorded during the 2:30 pm to 5:30 pm SteelMint trading window and considered for final price calculation as T1 inputs. The average of these transactions was INR 55,354/t which is given a 50% weightage in the final price calculation.
- Other Price Indicators – bids/offers/indicative (T2) – Sixteen offers reported in the trading window and considered as T2 inputs. The average price of these sixteen was INR 55,420/t and given a 50% weightage in the final price calculation.
The final price for billet exw Raipur was at INR 55,387/t, rounded to INR 55,400/t exw.
Click for detailed methodology
T1 – Trade, T2 – Offer/Bid/Indicative, *Normalized price as per methodology
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