SteelMint’s daily sponge iron, CDRI, index was assessed at INR 32,500/tonne (t) (+ INR 350) exw Rourkela on 23 June, 2022.
About 4,720 t of transactions in CDRI were recorded by SteelMint today as against 3,200 t on 22 June.
The index remained supported on firm buying interest following a rise in billet prices. Billet prices in Rourkela increased by INR 800/t exw d-o-d.
In addition, a significant rise in prices in Punjab, north India, influenced suppliers to keep offers higher, ultimately leading to rise in spot trade volumes, which increased by 48% on a d-o-d basis.
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) – Fifteen trades in the range of INR 32,300-32,800/t were recorded during the 11:30 am to 5:00 pm SteelMint trading window and considered for final price calculation as T1 inputs. The average of these transactions was INR 32,509/t which is given a 50% weightage in the final price calculation.
- Other Price Indicators – bids/offers/indicative (T2) – Fourteen offers reported in the trading window and considered as T2 inputs. The average price of these fourteen was INR 32,490/t and given a 50% weightage in the final price calculation.
The final price for sponge CDRI exw Rourkela was at INR 32,500/t exw.
Click for detailed methodology
T1 – Trade, T2 – Offer/Bid/Indicative, *Normalized price as per methodology
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