The week’s biggest mover on the weekly Raw Steels MMI® was Korean steel scrap, which saw a 3 percent increase.
The Financial Times reported that prices of iron ore are at 8-month highs, causing iron ore mining companies such as Australia’s Fortescue to get back on the expansion bandwagon. “Iron ore has traded as high as $150 a tonne this year, having hit an all-time high of almost $200 in early 2011,” according to the FT.
However, the FT also reported that rather anemic growth in global steel production is pretty much the new normal in 2013. (They also published individual projections for the steel market based on an internal survey.)
On the MetalMiner IndX℠, the Chinese price of iron ore 58% fines from India hit a high price of close to $135 per dry metric ton. Chinese HRC steel prices remained unchanged for the week. Chinese coking coal saw a 2.9 percent decline over the past week. The price of Chinese slab did not change since the previous week.
For the third week in a row, the 3-month price of steel billet dropped, falling 1.7 percent on the LME to $295.00 per metric ton. Following a steady week, prices for on the LME the steel billet cash price closed flat at $280.00 per metric ton.
The 3-month price of the US HRC futures contract fell 0.8 percent to $650.00 per short ton after rising 2.3 percent the week before. US shredded scrap prices held steady from the previous week at $387.00 per short ton. The US HRC futures contract spot price remained steady from the previous week at $642.00 per short ton.
The Raw Steels MMI® collects and weights 13 global steel and raw material price points to provide a unique view into global steel price trends. For more information on the Raw Steels MMI®, how it’s calculated or how your company can use the index, please drop us a note at: info (at) agmetalminer (dot) com.