SteelMint’s daily sponge iron, CDRI, index is assessed at INR 32,000/tonne (t) (+ INR 300) exw-Rourkela on 28 May 2022.
About 4,100 t of transactions in CDRI were recorded today against 5,100 t on 26 May.
The index inched up on the back of healthy transactions. Buyers are booking the material as per their needs even as price volatility persists.
The market saw active trading throughout the day. A bunch of deals were reportedly concluded for Bihar, Jharkhand and northern markets, SteelMint learnt from sources.
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) – Five trades in the range of INR 31,800-32,300/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 32,024/t which is given a 50% weightage in the final price calculation.
- Other Price Indicators – bids/offers/indicative (T2) – Eleven offers reported in the trading window and considered as T2 inputs. The average price of these eleven was INR 32,010/t and given a 50% weightage in the final price calculation.
The final price for sponge CDRI exw Rourkela was at INR 32,017/t, rounded to INR 32,000/t exw.
Click for detailed methodology
T1 – Trade, T2 – Offer/Bid/Indicative, *Normalized price as per methodology
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