Source: MetalMiner IndX(SM)
The monthly Automotive MMI® registered a value of 104 in December, an increase of 3.0 percent from 101 in November. This reading made the December automotive index the best performing of all of the MetalMiner indexes.
“The monthly automotive index dovetailed closely to actual auto sales results for the month of November,” said Lisa Reisman, Managing Editor of MetalMiner, “when we see sales jump 15% over the same period last year with an annualized sales rate of 15.5m units, according to Autodata Corp, it should come as no surprise that the underlying metals for the industry should also see price rises.”
At the same time, Ford announced it would increase production next year in North America by 11%, though GM made an opposite announcement saying it would idle a factory.
Steel Prices Lend Support
The bulk of the monthly metal price index lift came from rising US HDG prices of 7.1 percent over the previous month. Precious metals used in the automotive industry including platinum and palladium bars also lent price support rising two percent and 12 percent. Copper also saw a small two percent price increase while steel shredded scrap rose 13 percent. Aluminum essentially held steady.
The Automotive MMI® collects and weights 7 metal price points used in automotive production to provide a unique view into automotive metal trends over a 30-day period. For more information on the Automotive MMI®, how it’s calculated or how your company can use the index, please drop us a note at: info (at) agmetalminer (dot) com.