The US is a net exporter of ferrous scrap. What that means is that when international prices decline, there is an excess of material available in the US market. Exporters choose to sell to the domestic yards instead and prices therefore slide.
Chinese steel prices were mixed for the week. The price of iron ore 58% fines from India hit a high price of CNY 450.00 ($71.93) and a low price of CNY 445.00 ($71.13) per dry metric ton. The price of Chinese HRC fell 0.8% over the past week to CNY 2,490 ($397.99) per metric ton. This was the third week in a row of declining prices. Prices for Chinese coking coal remained constant, closing the week at CNY 1,080 ($172.62) per metric ton. Closing at CNY 2,460 ($393.20) per metric ton, Chinese slab remained unchanged for the week.
This week, the 3-month price of steel billet finished at $465.00 per metric ton on the LME after falling 3.1%. Also on the LME, the cash price of steel billet declined 3.0% to $485.00 per metric ton.
Korean steel prices were flat for the week. Korean steel scrap traded sideways last week, hovering around KRW 149,000 ($135.59) per metric ton. At KRW 530,000 ($482.30) per metric ton, the week finished with no movement for Korean pig iron.
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