Iron ore price negotiations not only affect the spot, too, is closely linked with the price of steel.
Carry ore prices climbing, Wuhan significantly raised steel prices in May, the majority of product price adjustment as much as 500 yuan / ton. But the industry pointed out that the hot spot mine has been through the mill momentum transfer to the steel market, steel market risk is increased.
Latest news learned yesterday issued a May Wuhan iron and steel products sales price policy. Which, in addition to the range of cold rolled coils up 100 yuan / ton, the hot-rolled, rolled plate, galvanized, tin-plated, non-oriented silicon steel, color coating and wire all significantly raised 500 yuan / ton. This is the fourth consecutive Wuhan Steel to raise prices this year. However, insiders Wuhan Iron and Steel, told reporters that the current gains have not covered, including steel, ore, coke and other raw materials, rising costs, power price adjustment later still.
In fact, the Wuhan Iron and steel prices is only now a member of the tide. According to market monitoring shows that the recent price adjustment frequency of major domestic steel mills have been replaced by the once a month once every 10 days. From March 15 to April 10 just a few days, Hebei Iron and Steel Group increases construction steel prices three times, the cumulative high line up 400 yuan, up 500 total thread; Sha Steel Group from March 11 to April 11 day within a month, up 650 yuan total rebar, wire up 600 total.
Rise steel appliances is even more impressive. According to data provided by industry analysts as at the end of 2010, 3, specifications for the 304/2B2.0 of stainless steel has risen by 1,400 yuan over the beginning / ton; 50WW800 silicon than the year up 600 yuan / ton; increase the minimum 3.0mm universal carbonate washing up than 270 in early / ton.
Steel and muster up the recent market transactions are also more active. According to industry analyst briefing, most recently, the Beijing market and trade large steel shipping at least 1,000 tons daily average over a good business transaction can reach 2000 tons daily shipments, and even 3,000 tons. Traders told reporters: "The current trading is concentrated mainly among the traders, much lower volume end users."
As the current is the main driver of rising steel prices iron ore price rise, iron ore traders concerned about the outcome of the negotiations is also popular. Beijing Capital Trade Co., Ltd. Hengda Duzhen all that worried about iron ore negotiations may result in steel prices to determine after the crash. "Once identified ore prices, steel prices are bound to be changes in the specific price range depends on mining, and the current spot price of imported iron ore is about 172 U.S. dollars, Japan, Korea and other steel enterprises deal with the three major ore mine is 120 dollars around the middle there are about 50 dollars difference. even if the exchange rate calculated by 6, is converted into RMB 300 yuan, traders who can withstand such a loss? true if the steel prices will fall 300 yuan, will have a large number of traders down the drain. "
