MetalMiner‘s monthly Raw Steels MMI® registered a value of 78 in December, a 6% decrease from 83 in November.*
*Note: Effective 12/1/14, MetalMiner updated some of the source data from China used to calculate this index. Therefore the December index reading appears a little more volatile when compared to the November reading. Any movements in the January reading will once again reflect only market price changes as opposed to market and source data prices changes.
As we commented last month, things were pointing to further weakness in steel prices. While prices topped in summer, scrap prices managed to hold well. However, in October, scrap prices finally succumbed, confirming that increases in steel prices were not sustainable.
The future doesn’t look too bright either, as we get into 2015. Steel-Insight Editor James May recently gave some reasons based on fundamentals of why coil prices could fall over 20% by Q2 next year.
For the rest of our commentary and this month’s exact prices, read the full story.