The weekly Davis Index for basic pig iron (BPI) decreased by $8/mt to $570/mt cfr New Orleans port on Friday amid sustained inactivity while the CIS BPI index fell by $10/mt to $529/mt fob Black Sea on oversupply.
US imported pig iron markets have been quiet over the past two weeks on ample domestic supply. Demand is absent in the US, though buyers expect lower prices when they resume BPI purchases. Price points for BPI have fallen by $66/mt in the past month, down from $636/mt cfr Nola on Jul 23.
Some importers believe that BPI price may fall below $500/mt fob Black Sea, considering the high availability of material and a downtrend in the global iron ore market.
The Davis Index for nodular pig iron (NPI) imports remained unchanged at $740/mt cfr Nola on firm offers from tight supply while US hot briquetted iron (HBI) imports also trended flat at $470/mt cfr Nola due to low activity.
Italy’s imported pig iron market was quiet amid summer vacations in the country, pulling down the weekly Davis Index for CIS BPI by $15/mt to $565/mt cfr Italy on Friday.
A few bookings from the CIS were heard this week only in Turkey, where a cargo of BPI was sold at around $530/mt fob to a large steelmaker. Another cargo changed hands at $560/mt cfr to a trader for a distribution. The market is bearish amid oversupply from the CIS and offers from India at $550-560/mt cfr Turkey.