NEWS05 09 12 by 4T2tc7

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									NEWS: 05.09.12
Top Head Lines for the Day

*** Russian silicomanganese market quiet
*** Russian ferrosilicon market runs stably
*** Russian ferromanganese price stable
*** Russian ferromolybdenum prices hover low despite increasing enquiries
*** Chinese ferrosilicon export prices decline
*** Argentina extends ban on ferrous scrap exports
*** Chinese mills continue to cut scrap buying prices
*** Tokyo Steel cuts scrap buying prices again
*** USEC dock scrap prices moving down
*** Black Sea scrap sales signal weaker Turkish import prices
*** Chinese FeSi Market Shows No Signs of Recovery
*** FeSi Demand Further Retreats in China
*** European molybdenum price surge hits buffers
*** European manganese market consolidates gains
*** Indian alloy market prices stable
*** Silicomanganese 65/17 prices decline further in china
*** Aluminum ingot price increase goes on
*** Die-casting zinc alloy producers hard to get profits
*** Chinese ferrosilicon traders lose confidence for the market
*** Upward tendency in selenium market
*** US high carbon ferrochrome market soft, unchanged
*** US ferrosilicon rates increase, spot keeps tight
*** South Korean ferrosilicon market quiet with new competitive offers from Indonesia
*** Globally Magnesium alloy smelters keeping price steady
*** Indian iron ore price declines
*** US steel scrap numbers see slight depreciation
*** Indian Non Ferrous scrap metal prices gain

Indian alloy market prices stable
Indian silico-manganese, ferro-silicon and ferro-manganese prices are stable. The silico-
manganese market is likely to improve when European buyers return to the market for
buying.

US ferrosilicon rates increase, spot keeps tight
Sources in the US noted that, despite minimal movement and demand for ferrosilicon, prices
have been following an upward trend over the past few weeks due to a tightening of supply
in the domestic market. Throughout the summer months, suppliers aimed to take control of
material since prices were falling, and it seems like availability has shrunk to the point where
small pockets of interest and few inquiries are starting to cause offers to rise because of
limited product. There have been reports of Chinese suppliers losing profit because of the
soft numbers, and the current uptick could be a short-term fix to remedy

Indian iron ore price declines
Currently the iron ore price in India is experiencing a significant decrease and September will
continue to be difficult for traders to get through. Insiders predict the unsatisfying situation
will last at least to the end of September.

Chinese domestic needle coke price goes down
In view of lower price of raw materials, Chinese major producers of needle coke reduce the
price of coal-based needle coke from RMB10,500-11,000t USD1,667-1,746t ex works to
RMB10,000t ex works. A Shanxi-based smelter with a production capacity of 40,000tpy of
coal-based needle coke offers RMB10,000t USD1,587t ex works from late August, down by
RMB500t at least.

Russian ferrosilicon market runs stably
Russian ferrosilicon market has run stably with steady quotations recently, according to
insiders. Concluded prices for ferrosilicon 65%min keep at RUB50-52kg USD1,553-1,615t.

Japan’s domestic vehicle sales increase by 7.3% y-o-y in July
According to statistics released by the Japan Automobile Dealers Association, Japan ’s
domestic sales of vehicles including new cars, trucks and buses totaled 232,372 tons in
August, rising by 7.3% in comparison of that in the same period of a year earlier.

Also, the figures have increased for consecutive twelve months, boosted by the
government’s buying incentives.

In July, Toyota sold 115,897 units in August, rising by 17.8%; Lexus sold 3,264 units, falling
by 17.9%; Nissan sold 31,405 units, decreasing by 7.0% and Honda sold 24,376 units, down
by 4.6%, all compared to that in the same period of the previous year.

Indian Non Ferrous scrap metal prices gain
Indian scrap metal prices rose on Monday both in Mumbai and Delhi metal market.

In Mumbai metal market, copper cable scrap, copper armetur, copper utensil scrap and
copper sheet cutting prices advanced by Rs 1000 per ton to Rs 485000 per ton, Rs 468000,
Rs 442000 and Rs 463000 per ton, respectively.

Copper heavy scrap prices also gained in Mumbai metal market, which advanced to Rs
478000 per ton from Rs 474000 per ton previously.

Meanwhile, in Delhi metal market, copper scrap prices fell to Rs 460 per kg on Monday.
however copper bar and copper rod traded higher in Delhi metal market, both advanced by
Rs 2 per kg to Rs 505 per kg and Rs 503 per kg, respectively.

Following are the metals prices in Mumbai on Monday (Prices in Indian Rupee per ton).
       Metals                 Monday             Previous
       Copper Wire Bars       513000             510000

       Aluminium Ingots       143000             143000
       Zinc slab              135000             135000

       Lead ingot             121000             122000
       Tin slab               1250000            1250000

       Nickel Cathode         1055000            1060000

       Scrap

       Copper cable scrap     485000             482000

       Copper heavy scrap 478000                 474000
       Copper armetur         468000              467000

       Copper utensil scrap 442000                441000
       Copper sheet cutting 463000                462000
       Brass utensil scrap    315000              316000
       Brass sheet cuttings 327000                325000
       Aluminum utensil       113000              114000
       scrap
Delhi metal prices in Indian Rupees per kg

       Metals                  Monday             Previous
       Copper Bars             505                503

       Copper Rod              503                501

       Copper Scrap            460                462
       Zinc Ingots             133-148            133-148
       Tin Ingots              1270               1280

       Nickel Strip
       4 x 24 “ Inco           1215               1220

       4 x 4 “ Inco            1180               1190

       4 X 4"                  1080               1090

       Aluminium Ingots        123-147            123-147
       Lead Ingots             118-139            118-139


US steel scrap numbers see slight depreciation
Activity for steel scrap in the US market remains weak as participants report downward
pressure on values. Some sources surmise that possible decreases could be due to a slight
slow-down in activity after major shipments to Turkey, which reduced supply and pushed
rates upward. US values for steel scrap have declined slightly to USD325-335t delivered in
California for an 80:20 mix of HMS1 and HMS2, a drop of USD5.0t since last week.
Shipments to Korea have increased USD10.0t for an 80:20 mix, with a minor pick-up in
deals, now ranging from USD385-395t CFR Korea.

Chinese domestic stainless scrap price up
Boosted by continuous price rise of nickel in LME futures market, the price of stainless scrap
in China goes up slightly for the time being, but most traders are not confident of the coming
market due to limited sales volumes. Insiders think the price is unlikely to further move up in
following two days. North China: A purchasing manager from Shunde Precision
Manufacture, a stainless scrap end user in Linqing, Shandong Province tells Asian Metal
that the delivered price of 304 solid scrap is RMB12,750t VAT included, RMB50t higher than
that of the previous trading

Scrap base prices dip in Japanese Tokyo Bay region
It’s reported that the scrap base prices in the Japanese Tokyo Bay region were at
¥26,500~¥27,000/ton FAS on August 30th, decreasing by¥1,000/ton, affected by Tokyo
Steel’s price cut.

At the same time, the current transaction prices of the Japanese H2 scrap sold to South
Korea are at ¥28,000/ton FOB, remaining flat.

However, industry sources said that the Japanese scrap export prices might decrease in the
near future.

Tokyo Steel cuts scrap purchasing prices
Reportedly, Japanese Tokyo Steel announced to cut the scrap purchasing prices by
¥500/ton from September 1st.

After the adjustment, the average purchasing prices of H2 scraps are
at¥26,500~¥28,500/ton.

Among them, the H2 scrap purchasing p prices in Okayama plant is
at¥28,000~¥28,500/ton; that in Kyushu plant is at ¥28,000/ton; that in Tahara plant is at
¥27,500/ton; that in Utsunomiya plant is at ¥27,500/ton and that in Takamatsu steel center
is at ¥26,500/ton.

Traders indicated that Tokyo Steel’s price cut was affected by the substantially decreased
iron ore prices.

It’s known that the spot iron ore dropped sharply by 10% last week. The spot prices of Indian
iron ore fine contain 63.5% Fe decreased to US$97~US$98/ton.

Steel melting scrap price movement on September 3
Melting scrap
80:20
HMS
Location                                              Change
Bangalore                                             0
Chennai                                               0
Hyderabad                                             0
Kandla                                                0
Kanpur                                                -174
Kolkata                                               169
Ludhiana                                              181
Mandi                                                 356
Mumbai                                                0
Rudrapur                                         -261

Change is on 3rd September as compared to 31st August 2012
Change is in INR per tonne

Rebar TMT QST price movement in India on September 3
TMT
Fe 415

Location                                                Change
Ahmedabad                                               0
Bangalore                                               0
Chennai                                                 0
Delhi                                                   -113
Hyderabad                                               0
Indore                                                  -300
Kanpur                                                  -500
Kolkata                                                 0
Ludhiana                                                0
Mandi                                                   -209
Mumbai                                                  -467
Raipur                                                  0
Rudrapur                                                -100
Muzaffarnagar                                           -400

Change is on 3rd September as compared to 31st August 2012
Change is in INR per tonne

Pencil ingot price movement in major places on September 3
Pencil ingot
Location                                                Change
Ahmedabad                                               0
Alang                                                   0
Bhiwari                                                 0
Chennai                                                 0
Durgapur                                                -267
Ghaziabad                                               -300
Hyderabad                                               0
Jaipur                                                  0
Jamshedpur                                              0
Ludhiana                                                181
Kanpur                                                  -174
Kolkata                                                 0
Mandi                                                   -300
Mumbai                                                  -400
Muzaffarnagar                                           -288
Nagpur                                                  0
Raigarh                                                 -104
Raipur                                                  -200
Rourkela                                                -105
Rudrapur                                                -610

Change is on 3rd September as compared to 31st August 2012
Change is in INR per tonne

Pig iron price movement on September 3
Pig iron
Foundry Grade
Location                                        Change
Agra                                            0
Jallandhar                                      0
Kolkata                                         0
Ludhiana                                        182
Raipur                                          0

Change is on 3rd September as compared to 31st August 2012
Change is in INR per tonne

HR steel prices on September 3
HRC
Tube
2.5x1250
Location                                            Change
Ahmedabad                                           0
Bangalore                                           0
Chennai                                             0
Delhi                                               -266
Indore                                              0
Kolkata                                             0
Ludhiana                                            -181
Mumbai                                              0
Change is on 3rd September as compared to 31st August 2012
Change is in INR per tonne

Sponge iron prices dip in Raigarh Raipur and Rourkela
Sponge iron
Location                                         Change
Bellary                                          0
Kolkata                                          0
Ludhiana                                         91
Raigarh                                          -100
Raipur                                           -100
Rourkela                                         -100

Change is on 3rd September as compared to 31st August 2012
Change is in INR per tonne

Chinese ferrosilicon export prices decline
The mainstream export price of Chinese ferrosilicon dropped again for the quiet demand
from foreign consumers. Currently the mainstream price decreased to USD1,340-1,360t
FOB China for ferrosilicon 75%min and around USD1,320t FOB China for ferrosilicon
72%min, a decline of about USD10t compared with those of 5-6 days ago.

Steel scrap prices to decline in China
Steel scrap prices decrease by RMB30-50t in Zhejiang as steel prices continue to decline.
Mainstream concluded prices of burden fines are at RMB2,280-2,300t VAT excluded
delivered by cash payment. A purchaser from Zhejiang Hangzhou stated that steel scrap
purchasing prices decreased by RMB30t recently with current bids of burden fines I, Fujian
mills decrease steel scrap purchasing prices by RMB30-50t as steel prices continue to
decline. Mainstream concluded prices of burden fines and HMS are at RMB2,160-2,180t and
RMB2,100-2,120t VAT excluded delivered by cash payment respectively. A purchaser from
Fujian Sanbao Steel stated that the mill decreased steel scrap purchasing prices by RMB30t
today with mainstream bids of qualified scrap, HMS and MMS at RMB2,180t, RMB2,120t.
Lianyuan Steel, based in Hualing, South China, has cut down the purchase price for steel
scrap by RMB100t with figures for steel scrap I at RMB2,620t and RMB2,630t procured
outside of Hunan and inside of Hunan respectively, both on VAT included delivered basis.
An official from the mill noted that the mill procures steel scrap I at RMB2,620t and
RMB2,630t procured outside. Hunan Hengyang Steel Pipe reduced steel scrap purchase
prices by RMB50t recently. Current prices for fine steel scrap is at RMB2,580t in Hunan and
RMB2,630t for steel scrapⅠoutside the province, all prices are on VAT included delivered
basis. During the interview, an official from the mills reported to Asian Metal that current
purchase prices for fine steel scrap stays at RMB2,580t in Hunan and RMB2,630t for steel
scrap. Steel scrap market prices decreased by RMB50t in Dongguan , Guangdong recently.
Current local steel scrap prices are RMB2430-2450t VAT excluded delivered for shredded
steel scrap. A source from Dongguan-based Xingfa Material Recycling Company noted that
transaction price keeps at RMB2,450t. As the price of steel keeps sliding, Hubei-based
Wuhan Iron and Steel Group Corporation WISCO further lowers the purchase prices of steel
scrap by RMB30-70t, and the current price of HMS is at RMB2,760t VAT included delivered.
As Asian Metal reported on August 27, WISCO cut purchase prices of steel scrap by
RMB30t on August 26 to RMB2,830t for low-sulfur steel scrap I or II, RMB2,810t for HMS II,
RMB2,760t for MMS, RMB2,670t for SMS, RMB2,490t for uniformed steel scrap, RMB2,450t
for LMS, RMB2,310t for regular shredded steel scrap, all on VAT included delivered basis..
As the overcapacity of crude steel sustains and the price of steel remains in a downtrend,
Jiangsu-based mainstream steel mills cut the purchase price of steel scrap by RMB30-100t
to RMB2,550-2,570t VAT included delivered for burden fines. Changes and prices of
Jiangsu-based mainstream steel mills Steel mill Item Spec. Price Ups and downs Unit Basis
Origin Shagang Steel Burden fines I 6mm 2,590 -30 RMBt VAT included delivered Jiangsu
Burden fines II 4mm 2,520 -30 RMBt VAT included delivered Jiangsu HMS I 5mm 2,560 -30
RMBt VAT included delivered Jiangsu HMS II 4mm 2,530 -30 RMBt VAT included delivered.
Anhui-based Masteel keeps lowering the purchase price of steel scrap by RMB70t, and the
price has been decreased to RMB2,720t for fine burden fines, to RMB2,620t for HMS, both
on VAT included delivered basis. Asian Metal reported in early August: “Anhui-based
Masteel lowered the purchase price of steel scrap largely to RMB2,860t for HMS 12mm min,
RMB3,000t for HMS1 reroll grade. Liaoning-based Linggang Steel cuts steel scrap
purchasing prices by another RMB20t today to RMB2,540t for HMS and MMS 6-10mm, at
RMB2,520t for SMS 4-6mm and at RMB2,420t for uniformed steel scrap 2-4mm, all on a
VAT included delivered.
Longjiang-based Acheng Steel cut steel scrap price recently. Current price holds at
RMB2,220t VAT excluded delivered for HMS from the mill, down by RMB30t compared with
that of late August. An official from the mill stated that movements in steel market ran
sluggish these days.

Coking coal price drops weakly
Coking coal price has dropped weakly in Outer Mongolia recently with prevailing price for
Outer Mongolian fine coal 3# at RMB900t VAT included Kouan in Ganqimaodao Kouan. The
future price is likely to fall slightly due to oversupply, soft demand for coking coal. Thermal
coal price keeps stable at about RMB490t VAT included FOT for thermal coal 4500cal, and
at about RMB520t VAT included FOT for thermal coal 5000cal at present in Heilongjiang . A
source of a Heilongjiang-based coal trading company reported that thermal coal price
basically keeps stable now at RMB495t VAT included FOT for thermal coal 4500. Thermal
coal price has been stable over the past 5 weeks. Thermal coal 5500cal prices are at
RMB340-350t VAT included at mines in Inner Mongolia , the same with those last month..
Coke market keeps sluggish in Hebei and current mainstream prices keep at RMB1180-
1250t VAT included Ex works by DA payment for metallurgical coke II in Tangshan and at
RMB1,280-1,350t VAT included Ex works by DA payment for sub-metallurgical coke I; the
mainstream price keeps at RMB1,260t VAT included.

Chinese ferrosilicon traders lose confidence for the market
According to Chinese ferrosilicon traders, they have lost confidence for the future market
because the whole market still keeps quiet and the government does not formulate any
tangible policies to promote economy.

Global Foundry Materials Trend Headlines for the Day
    Silicomanganese 65/17 prices decline further in Guangxi
    Alumina market stabilizes temporarily in northern China
    Aluminum ingot price increase goes on
    Zinc ingot price continues to move up sligtly
    Indonesia bauxite suppliers manages to increase offers
    Lead ingot prices nose up slowly in Chinese market
    Alumina production in Shanxi up by 14.3% MOM in August weighing on the price
    Fierce price competition in secondary aluminum alloy ingot market
    Die-casting zinc alloy producers hard to get profits
    Little change in copper concentrate market
    Nickel sulphate trading keeps inactive
    Chinese silicomanganese 60/14 prices slip further
    Watching sentiment strong in tin market
    Copper price keeps rising
    Zinc sulfate market remains stable
    High-grade ferronickel price holds firm
    Chinese high carbon ferromanganese demand unimproved
    Chinese ferrosilicon traders lose confidence for the market
   Kadiya Aluminum postpones new line of aluminum alloy
   Most manganese slag producers in Guangxi shut down
   Lateritic nickel ore import price moves down slightly
   Tongchuan Aluminum gets favorable power charge
   Yunnan Aluminum delays the start of new smelting capacity
   Slow trading in copper rod market
   Participants watch tellurium market
   Zhejiang Copper increases copper rod production
   Upward tendency in selenium market
   Molybdenum concentrate prices in uptrend, ferromolybdenum market firm in China
   Titanium rutile price down slightly in Hainan
   Thin trading in tin concentrate market
   Nickel cathodes trading very bad
   A few steel mills reduce high carbon ferrochrome consumption
   Manganese briquette price remains unchanged
   Ferrodysprosium market remains quiet
   China-made ferroniobium market sees rare transactions
   More supply in manganese flake market
   Optical grade niobium oxide market keeps dim with prices showing downward
    tendency
   PrNd mischmetal offers show downward tendencies
   Some Chinese steel mills reduce ferrosilicon purchase volume
   Chinese ammonium molybdate prices difficult to rise on account of weak demand
   Chinese crude cadmium producers unwilling to sell
   ircon sand price likely to drop greatly in Chinese market
   Magnesium ingot market runs slowly
   Cold responses from magnesium powder consumers
   South Korean ferromolybdenum buyers appear resisting quotations at USD31/kg
   Magnesium alloy smelters keeping price steady
   South Korean ferrosilicon market quiet with new competitive offers from Indonesia
   Antimony trioxide market moves slowly
   South Korean high-carbon ferromanganese export market seeing lower quotations
   Antimony ingot export market quiet
   Brazilian manganese ore sees downtick, sales keep light
   US ferromolybdenum rates unchanged, market keeps weak
   US traders: Ferrovanadium rates level-off as demand remains quiet
   US traders: Ferrosilicon rates up slightly despite weak movement
   US ferrosilicon rates increase, spot keeps tight
   US high carbon ferrochrome market soft, unchanged
   European lanthanum oxide markets sluggish
   European manganese flake prices remain firm despite limited end user activity
   Turkish lumpy chrome ore market sees no sign of recovery, miners cease operation
   Turkish concentrate chrome ore market sees limited activity
   European antimony market stable, price unchanged
   Marginal increase in activity in the European indium market
   European ferrotungsten buying activity slow, prices stable
   European molybdenum oxide figures increase
   European ferromolybdenum consumer enquiries minimal
   Brazilian manganese ore prices, activity dip; near-term recovery not likely
   Russian ferromanganese price stable
   Russian ferrosilicon market runs stably
   Russian silicomanganese market quiet
      Russian ferromolybdenum prices hover low despite increasing enquiries

Russia’s iron ore exports up by 3% y-o-y in March
According to statistics released by the Russian customs, Russia exported 2.151 million tons
of iron ore in this May, rising by 2.8% year on year.

In the first five months of this year, the country’s iron ore exports totaled 10.292 million tons,
increasing by 3.2% in comparison 9.973 million tons in the same period of 2011.

In the given period of time, China was the largest importer of the Russian iron ore with 6.062
million tons, increasing by 8.4%; Ukraine was the second largest one with 1.077 million tons,
soaring by 91.3% and Slovakia was the third largest one with 677,000 tons, decreasing by
44.5%, all compared to that in the same period of a year earlier.

Chinese domestic CRC prices drop
Chinese domestic CRC prices show a downward trend again, but the demand from
downstream customers is still very weak with declining sales volumes reported by the
traders. Insiders deem the prices may go on falling down in the forthcoming days. East
China: A sales official from a local CRC distributor in Shanghai, Chang’an Trading, discloses
to Asian Metal that he quotes RMB4,300t VAT included for DC01 1.0mm*1,250mm*C from
Bengang Steel, RMB20t lower than that of the previous trading day. According to him, the
prices at present are decreasing all the time. Many traders are afraid of bearing heavy
pressure.

Die-casting zinc alloy producers hard to get profits
Though the traditional boom consumption season is coming in September, Chinese die-
casting zinc alloy market remains very weak and most participants reported it’s hard to get
profits.

								
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