At $350.00 per metric ton, the cash price of LME steel billet moved up 1.4 percent on Sept. 26, 2012, making it the biggest mover on MetalMiner’s daily steel price index.
The steel billet 3-month price saw a 1.3 percent decline on the LME to $350.50 per metric ton.
Another Reason to Short China
A big voice in the steel industry has come out saying that China’s rapid industrialization and economic growth is a thing of the past, and steel demand may not come back.
Edwin Basson, director general of the World Steel Association and a former executive at ArcelorMittal, told Reuters that “China has reached the beginning of the end of its very fast growth curve in steel demand and that has already had some impact on the raw materials suppliers.”
“I think we have come to a turning point, where growth in China will be slower rather than faster,” he is quoted as saying.
Chinese steel closed mixed yesterday. The high and low prices of iron ore 58% fines from India kept in a tight range in the $130s per dry metric ton. The price of Chinese slab declined 0.3 percent, and the price of Chinese HRC remained essentially flat.
The 3-month price of the US HRC futures contract showed little movement yesterday, hovering around $615.00 per short ton. The spot price of the US HRC futures contract remained essentially flat at $640.00 per short ton.